CarZ closes Series A funding from IndoUS Venture Partners
Hyderabad May 23, 2011:
CarZ, a leading multi-brand car service network today announced that it has received $5 million Series A funding from IndoUS Venture Partners (IUVP), a leading venture capital which provides early and mid-stage funding to new and growing businesses in India. CarZ will primarily use the capital to expand its network of service locations in other parts of India.
Vijay Gummadi, Co-Founder and CEO of CarZ said, “The business model fills the underserved gap between franchised dealers and untrained street-side mechanics. CarZ offers a full range of car repair services including electrical and mechanical repair, accident repair, parts and accessories, interior / exterior detailing & beautification in convenient neighborhood locations, served by highly trained mechanics with advanced diagnostic equipment.”
“This funding and partnership with IUVP will facilitate a phased rollout of our unique and differentiated car service network in new territories across India while making quality, convenient and affordable car repair and maintenance services accessible to Indian car owners”, added Gummadi.
Venu Donepudi, Co-Founder & Managing Director of CarZ, said, “Fast paced evolution of automotive technology, the rapid proliferation of vehicle models and increased quality awareness among customers requires a service provider to offer and continuously improve skills, technology, and thinking than the past. As the industry grows and transforms, service offerings need to improve correspondingly. A business model inclusive of such transformation has been at the core of CarZ. Our association with IUVP is in-line with our strategy to grow by attracting value added partners and extraordinary talent”
Kumar Shiralagi, Managing Director of IUVP said, “The current growth rate of the Indian passenger car segment is phenomenal. As has happened in developed markets such as the USA, Europe, Japan, Indian car owners’ conscious of service quality, value pricing and convenience will actively seek and prefer independent, multi-brand, quality car service centers like CarZ for car repair and maintenance services during and post warranty. By virtue of its service offering, quality of service and culture, CarZ has already established strong customer acceptance and brand identity in the markets it currently operates apart from generating huge nation-wide interest in its business model. The CarZ model has evolved systems and processes to effectively deliver quality, transparent, affordable, hassle-free and friendly car service to car owners at convenient neighbourhood locations.
M. M. Dillon & Co. (formerly CRT Investing Banking), Stamford, CT, USA was the Exclusive Advisor to this transaction. Speaking on this occasion, Mr. Tim Meyer, MD and Head of Private Placements, M. M. Dillon & Co. said, “We at M. M. Dillon believe in helping emerging companies with outstanding business models and great management teams to scale their businesses by securing a value-added financing partner.”
Mr. Scott Merlis, MD – Automotive Sector Investment Banking, M. M. Dillon & Co. “CarZ is uniquely positioned to exploit the unfolding opportunities in the Indian Automotive Service Sector. We are privileged to be associated with it and are fully committed to support CarZ in all its future endeavours.”
About IUVP
IndoUS Venture Partners (IUVP) is a leading venture capital firm which provides early and mid-stage funding to new or growing businesses in India. Our team comprises experienced entrepreneurs and executives who understand the model of incubating ideas and transforming them into successful enterprises. It is our privilege to fund entrepreneurial ideas and offer collaborative partnerships. We invest in tomorrow’s business leaders, explosive new markets and enterprises that will transform our future.
We foster close partnerships with our portfolio companies, and build strong relationships based on integrity, trust and mutual respect. At IUVP, we are committed to redefining Indian entrepreneurship and are excited about India’s potential to be an innovative player in the global market. Our approach to investing and our philosophy of building successful companies makes us the ideal partner for entrepreneurs. [Website: www.iuvp.com]
About CarZ
CarZ was founded in 2008 by Venu Donepudi and Vijay Gummadi both auto experts with extensive experience in the North American Auto industry. Considering that dealerships and unorganized garages were the only two car service options in India at the time, CarZ was ideated to offer consumers the best of both: car repair with the expertise of a dealer and comfort of a local mechanic.
Headquartered in Hyderabad, Andhra Pradesh, the company currently operates four locations in Hyderabad at Jubilee Hills, Madhapur, Gachibowli and Prasads IMAX with plans for a phased nationwide rollout.
CarZ offers a full range of repair services for all makes and models of cars: routine and preventive maintenance, electrical & mechanical repair, accident repair – denting and painting, tyres and services, battery, variety of styling and performance accessories, interior and exterior detailing. These services are offered in convenient neighborhood locations and offsite by mobile service vans. All services are performed by highly trained technicians employing advanced diagnostic and repair equipment and safe, high quality, branded replacement parts.
At CarZ, we strive to provide customer service that isn’t just the best, but legendary! [Website: www.carzcare.com]
Media Contact
Ajay Muliyil
Equator Communications
M: +91 99001 61311
Email: ajay[atsymbol]equatorpr.net
Vijay Gummadi, Co-founder, CarZ
Venu Donepudi, Co-founder, CarZ
Phone: +91-40-23606162
Web: www.carzcare.com
Email: info[atsymbol]carzcare.com
