The Series D funding brings Tekion to a $3.5B valuation. Here are the top-line bullets you need to know.
Tekion, an automotive dealer management system provider, has raised $250M in a Series D. The round drew participation from Hyundai Motor Company, Index Ventures, Advent International, Alkeon Capital Management, and Durable Capital Partners.
HOW’S THE COMPANY PERFORMING?
- California-based Tekion’s platform brings together retailers, dealers, consumers, and original equipment manufacturers (OEMs).
- The startup’s flagship product, Automotive Research Cloud (ARC), helps streamline the vehicle sales cycle.
- The company reports that it has facilitated over $2B worth of transactions.
- The company currently has offices in the US, India, and Canada, and it plans to expand its operations to France by Q2’22.
- Tekion is supported by a team of over 1,000 innovators worldwide.
WHY DOES THE MARKET MATTER?
- The global dealer management system market is expected to grow at a CAGR of 6.8% and reach a value of $10.03B by 2027, according to The Insight Partners.
- The rising adoption of cloud technology, AI, data-based analytics, and automation has contributed to market growth.
- The Covid-19 pandemic has increased the demand for private vehicles as well as contactless transactions, which may prove to be beneficial to this market in the future.