The Indian Wire » Startups » Car rental service platform Zoomcar bags INR 55.7 cr from US-based parent company, WeWork India head
Startups

Car rental service platform Zoomcar bags INR 55.7 cr from US-based parent company, WeWork India head

Zoomcar, a car rental service platform, has bagged INR 55.7 crore mix of debt and equity from its US-based parent entity Zoomcar Inc and Karan Virwani, head of WeWorks India, reported Inc42.

While the parent entity bought shares worth INR 48.47 Cr, Virmani paid INR 7 Cr loan.

As per the sources, the company Zoomcar, had passed a resolution to allot 97,604 equity shares to the parent entity for INR 4,956 per share, on October 4.

Zoomcar was founded by Greg Moran and David Back in 2013 in Bengaluru. It offers self-driving rentals as well as car subscription.

The company claims to have a 70% market share with over 7,000 cars, catering to over 2000 rides every day. By the end of 2019, it aims to have 20,000 cars.

Whereas, in FY18, it reported a revenue of ₹158 crore, which is 32 per cent higher than the ₹120 crore it reported in FY17.

Its expenses, which was at Rs 225 crore in FY17 rose to Rs 274 crore for FY18.

Since its launch, the company has expanded its services to 42 cities including Delhi, Mumbai, Kochi, Bengaluru, Pune, etc.

Furthermore, according to the reports, Shared mobility startups have been gaining traction in India, at a time when country’s millennials have been preferring to use these services without worrying about vehicle loans and EMIs.

Some of the other significant car rental service startups in India includes Ola CabsMyles Cars,DrivezyRevMiCarCarzonrentselfdrive.involer, etc.

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