Girnar Software Pvt Ltd, owners of auto portal CarDekho.com, and ibiboGroup have announced an agreement whereby GirnarSoft will acquire Gaadi.com, one of India’s leading auto portals, for an undisclosed amount.
With the combined volumes of CarDekho.com and Gaadi.com exceeding 15 million monthly visitors, this transaction positions GirnarSoft as the undisputed #1 player in auto search and lead generation business in India,.
The company stated that CarDekho.com and Gaadi.com will continue to run independently and operate as separate businesses in order to drive deep focus. While management teams of each of these entities will continue to build their businesses, GirnarSoft will look to create cross-synergies in product development for consumers and dealers, as well as in back-end operating systems.
Gaadi.com was founded in 2008. The company was acquired in 2011 by ibiboGroup during the early days of its evolution, and quickly became a leader in the used car segment online.
Speaking on this occasion, Umang Kumar, co-founder/CEO Gaadi.com said, "This is a great outcome for all stakeholders - Ibibogroup, Gaadi employees and CarDekho. Gaadi.com grew 10x in 3.5 years as a part of Ibibogroup and together with CarDekho we can scale our leadership in the used car business even faster. I had a good time at Ibibo, and hope to have an even better time with CarDekho!"
According to Amit Jain, founder/CEO of GirnarSoft, "Bringing Cardekho.com and Gaadi.com together creates outright marketleadership for us in online auto in terms of visitors, dealer base and revenue. CarDekho.com is already #1 in the new car segment, and growing rapidly with its OEM and dealer tie-ups. The used car strength that Gaadi.com brings to the stable means that we will now be able to offer unparalleled products, services and support to all stakeholders, be it consumers, OEM manufacturers and new and used car dealers."
The core business model of CarDekho and Gaadi is earnings from lead generation for new and used cars, and media sales on their portals. The two put together boast of more than 2,500 car dealer tie-ups across the country, the largest among auto portals. Besides these, CarDekho helps retail over 4,000 cars per month for eight OEM manufacturers that it partners with.
According to Ashish Kashyap, CEO of ibiboGroup : "ibiboGroup wants to focus on online travel sector across its assets: Goibibo.com, TBOGroup, redBus.in and YourBus. ibibo has significant leadership and scale in each of these businesses and would want to further double up on this sector. Umang and the team at Gaadi.com is excellent and we have enjoyed working with them to build out the vertical. Our aim was to ensure that Gaadi.com gets the right home, and we are happy that it has been achieved through this acquisition."
Source : CarDekho
