Barcelona and Athens, 28 April 2022 - Adevinta Ventures, the investment arm of Adevinta, today announced its investment in Spotawheel, a leading end-to-end (E2E) automotive digital platform. The new funding round closes at €100M in equity and asset-backed debt, led by VentureFriends joined by Adevinta Ventures, Uniqa Ventures, Rockaway Ventures, Velocity Partners, FJ Labs, Collective Spark and other notable investors, coupled by a floor plan facility mix from leading European credit and banking institutions.
The additional funding will primarily fuel Spotawheel’s team growth adding +700 people in the next 12 months (currently scaling up Germany local operations while establishing teams throughout Western Europe), introducing in parallel new online consumer offerings in the course of the coming quarters.
Founded in 2016 by Charis Arvantis, Christos Zis and Kiriakos Agadakos, Spotawheel uses innovation to improve the process of selling and buying used cars. Since creation, the company has expanded rapidly, evolving into one of the fastest-growing companies in Europe and establishing itself in the market through its proprietary sourcing engine, blending advanced technologies like Big Data with human innovation. This provides a competitive advantage, enabling the business to efficiently predict demand and supply, as well as market trends valuation with remarkable precision and scale. Spotawheel’s new digital business model, with more than 60% of its customers using the online touchless shopping feature, provides a strong differentiation point for the business, further supported through provision of additional features such as Written Technical Inspection of 200+ points, a 5 Year Warranty, 14 Day Money Return Policy and country-wide vehicle delivery.
Building on its strong market position, this funding round will support Spotawheel’s continued expansion plans, with the business expecting to soon add Romania to its Central & Eastern Europe retail market portfolio of 100B used cars market, after its successful growth in Poland and Greece. The business is also expected to exceed its projected €200M revenue run rate milestone within 2022. In addition, Spotawheel is looking to increase its vehicle offering across its platforms, while also expanding in-house preparation capacity to 50.000 cars per annum to help drive further growth.
Jordi Iserte, Investment Director at Adevinta Ventures, said: "Fully transactional and frictionless experiences are the new norm and the motors industry has also started to move into that direction. With its focus on transparency and strong data capabilities, we see Spotawheel as the player to unlock the European cross-country arbitrage (Western-Eastern) and we are thrilled to support Charis and his talented team along this journey.”
Charis Arvanitis, Spotawheel founder and CEO, commented: “It’s amazing to be accelerating our journey of digitally transforming the CEE used car landscape, backed by our customers, our people and our funding partners. We want our customers to enjoy the largest assortment of great quality cars while offering them the best options to own or just drive any of them. Fintech products in our pipeline such as our fresh used car subscription offering follows that exact logic, allowing more flexibility for any person to drive truly great and safe cars”.