Used car marketplace Spinny has reportedly closed a fresh funding round of $170 Mn (around ₹1,400 Cr), led by US-based investors Fidelity Investments and Accel Leaders Fund.
As per an ET report, the round includes $90 Mn of primary capital going directly into the company. The remaining $80 Mn came through secondary transactions, where early investors Blume Ventures and Fundamentum offloaded part of their stakes. These shares were lapped up by Fidelity and WestBridge Capital.
The round values Spinny at about $1.5 Bn. This marks a slight decline from the $1.7 Bn valuation that the startup had registered following a $131 Mn funding round in 2025.
On Thursday, the Competition Commission of India (CCI) approved Fidelity’s investment in the startup. The US-based fund has picked up around a 6.63% stake in the company via primary and secondary investments.
“The proposed combination entails the acquisition of minority shareholding of ~6.63% (on a fully diluted basis) through primary subscription and secondary acquisition of CCPs of Valuedrive Technologies Private Limited by the Fidelity Funds,” the CCI read.
At the same time, Spinny received about ₹46.2 Cr via a fresh allotment of shares, as part of a share swap deal with Gomechanic. According to regulatory filings, the board of its parent entity, Valuedrive Technologies Pvt Ltd, approved the issue of 1.22 Cr Series G1 compulsory convertible preference shares at ₹37.79 per share.
Spinny is yet to issue a statement on the transaction. Queries on the development sent to Spinny by Inc42 did not elicit a response at the time of the publication. The story will be updated upon receiving a revert.
Important to note that this is Spinny’s second large fundraise in less than a year. In June last year, it closed a $161 Mn round led by Accel Leaders Fund and WestBridge. That deal marked one of the first major funding rounds in the used-car and online auto space after the funding slowdown post-2021.
Since inception in 2015, the startup has raised about $676 Mn from investors like Tiger Global and Accel, who are among the startup’s largest shareholders.
On the financial front, Spinny delivered a clearer turnaround in FY25, with revenue rising 25% to INR 4,657 Cr while losses narrowed to INR 424 Cr. This marked a second consecutive year of financial improvement for the Gurugram-based startup.
These gains stem from tighter cost controls, sharply lower marketing spends, improved sourcing efficiencies and growing contribution from higher-margin add-ons such as financing, insurance and warranties, which lifted per-vehicle economics.
The startup’s funding run comes at a time when peers Cars24 and CarDekho are eyeing IPOs, while listed rival CarTrade Tech has already shown profitability through an asset-light marketplace model.
Sector fundamentals remain favourable as used-car volumes exceed new car sales, though growth is expected to moderate. Structural hurdles — fragmented supply, paperwork delays, refurbishment costs and potential E20 fuel compliance risks — continue to pressure margins, especially for inventory-heavy players.
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