cinch raises £1bn to accelerate growth across UK and Europe
Constellation Automotive Group have announced that their online B2C used car marketplace cinch has raised over £1bn in private capital to accelerate their growth. The group of leading global institutional investors included a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA), GIC, Neuberger Berman client funds and funds advised by Soros Fund Management LLC.
cinch has reached annualised sales of over 45,000 vehicles less than eight months after launch, growing at 45% month-on-month on average and demonstrating how much consumers love its value proposition. Uniquely, cinch not only sells cars it owns but also provides a fully integrated digital marketplace to its trusted partners such as dealers, car manufacturers or leasing companies to reach new consumers and sell their cars directly to them online.
Since its launch in 2020, cinch has quickly established itself as the largest online B2C marketplace for used cars and one of the fastest growing consumer brands in the UK. Following on its highly successful launch cinch has developed an ambitious expansion plan to expand rapidly in countries across Europe. This latest funding round provides the group with the resources to accelerate this expansion and continue its extensive investments in people, technology, data science, infrastructure and brand building.
“The €400bn European B2C used car market is at the beginning of a massive digital transformation – similar to the one experienced by so many other retail verticals before. Constellation is in a unique position to lead this transformation. Its relentless growth and development has been nothing short of exceptional. We are delighted to welcome such a distinguished group of investors to Constellation and, together, to become the leading digital disruptor across the European used car value chain.”
– Thibaut Large, Constellation’s majority shareholder, Partner at TDR Capital