US based venture fund Sequoia Capital has invested $8 million (about Rs 48 crore) in Zoomcar along with other investors. Zoomcar is a Bangalore based self-drive car rental company.
Sequoia was joined by Zoomcar’s early backers such as Empire Angels, FundersClub and Basset Investment Group, and funds advised by Triangle Growth Partners, who have raised their stake in this round. Several new investors including former Infosys CFO Mohandas Pai and Manipal Group’s head of corporate affairs Abhay Jain, also participated in the round.
Zoomcar was founded in 2013 by Greg Moran and David Back. The company initially started off with 7 cars in one location to 250 cars in 40 locations across Bangalore and Pune in which it is currently operating. It allows members to rent out cars varying from Mahindra Reva to BMW for a few hours to multiple days
The investment will be used in technology, to hire and to expand its operations to other cities including New Delhi, Mumbai, Chennai, Hyderabad, and Goa.
“Zoomcar have built technology to make an incredibly user-friendly experience, with all bookings happening through the web or mobile app,” said Shailendra Singh, Managing Director at Sequoia India, as reported in ET.