Summary 1. Led by Accel Leaders Fund, the investment round also included participation from Nandan Nilekani's Fundamentum venture capital firm. 2. Spinny secured the $131 million through a combined primary and secondary transaction structure while maintaining a flat valuation of $1.8 billion, consistent with its previous funding round. 3. The used-car marketplace unicorn reported financial results showing a net loss of INR 590 crore in FY24 while generating operating revenue of INR 3,725 crore during the same period.
Tiger Global-Backed Used Car Marketplace Maintains Unicorn Valuation in Latest Investment Round
Tiger Global-backed used-car marketplace unicorn Spinny has reportedly raised $131 million (approximately INR 1,121 crore) in a financing round spearheaded by US-based Accel Leaders Fund.
The investment, structured as a combination of primary and secondary transactions, also included participation from Nandan Nilekani’s Fundamentum. According to a report by the Economic Times, the automobile reselling platform maintained a post-money valuation between $1.7 billion and $1.8 billion.
This valuation remains essentially flat compared to its previous $1.8 billion valuation achieved in December 2021, when the company first entered the unicorn club after securing $283 million in a funding round led by Abu Dhabi-based ADQ, Tiger Global, and Avenir Growth.
Funding Structure and Investor Participation
In the current investment round, $107 million constituted primary investment, while the remainder was allocated for secondary shares and employee stock options (ESOPs) buyback.
According to Spinny’s MCA filings accessed by Inc42, Accel and Fundamentum have collectively invested approximately $52 million in primary capital into the startup thus far. The second installment of the primary capital component is expected to be completed by the end of April.
The company’s existing investors, including Tiger Global, Elevation Capital, and General Catalyst, are anticipated to join the current funding round as well.
Strategic Expansion into Financial Services
Spinny reportedly intends to utilize the proceeds from this fundraise to expand its newly-launched non-banking financial arm, according to the report.
This strategic move aims to diversify the company’s operations into lending and complementary services. The expansion would potentially enable the used-car retailing platform to enhance its gross margins and develop additional revenue streams.
Inc42’s inquiries directed to Spinny cofounder and CEO Niraj Singh remained unanswered at the time of publishing this article.
Financial Performance and Growth Projections
In November of last year, Singh announced that the startup was targeting 35% to 40% revenue growth for the fiscal year ending March 2025 (FY25), with ancillary services such as lending expected to increase their contribution to the overall business.
Spinny successfully reduced its net loss by 28% to INR 590 crore in FY24, down from INR 819.8 crore in the previous fiscal year. The company’s revenue from operations increased by 14.2% to INR 3,725 crore during this period, compared to INR 3,259.7 crore in FY23.
Used-Car Selling Startups On Funding & Expansion Spree
This development coincides with rising demand for pre-owned vehicles across India. Used car sales exceeded new car purchases in 2024, with 54.12 lakh units sold compared to 41.63 lakh new cars, according to a report by Cars24.
Consequently, ventures operating in this sector are attracting increased investor interest. For example, Cars24 secured INR 250 crore from its Singapore-based parent entity Global Car Group Limited last July. More recently, in March 2025, IPO-bound Droom raised $3 million in a round co-led by India Accelerator and Finvolve.
Meanwhile, CarDekho is preparing for a potential $500 million initial public offering (IPO).
Companies in this segment are also venturing into new verticals to enhance their revenue streams.
Last month, Cars24 entered the “new cars” market by launching an aggregator platform for dealerships and OEMs. This initiative aligns with its comprehensive strategy to simplify the car purchasing process by consolidating various services within a single super app.
Prior to this expansion, the company also introduced a discovery platform called ‘Cars24 Driving School’ to help users locate nearby driving schools through its application.
Spinny and CarDekho have similarly adopted expansion strategies, diversifying into additional verticals to broaden their service offerings.
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