Money will help the company expand into Asia and Europe in 2021.
Cloud technology company Tekion has won a Series C financing round of US$150 million at over a US$1 billion valuation.
The funding round was led by Advent International (“Advent”), one of the largest and most experienced global private equity investors, with participation from Index Ventures, Exor (the holding company of Fiat Chrysler Automobiles and Ferrari), Airbus Ventures and FM Capital (a fund that includes a large number of top 100 dealers in the country as it’s limited partners).
Tekion’s other key investors from the Automotive industry include General Motors, BMW iVentures, and Nissan-Renault-Mitsubishi Alliance Ventures.
Tekion was founded by former Tesla CIO and technology leader Jay Vijayan, to modernise automotive retail, enables seamless consumer experiences and high operational efficiencies for dealership operations.
The company started on-boarding dealers on its Automotive Retail Cloud platform in Q3 2019 and is growing rapidly nationwide by partnering with manufacturers and dealers of all sizes. Tekion proudly counts some of the country’s most influential dealer groups as its dealer partners in 28 US states and growing across the country.
Tekion’s Automotive Retail Cloud already integrates with 17 OEM brands and the company is targeting to complete the remaining OEM integrations in early 2021.
Advent’s investment will provide Tekion with fresh capital to support additional investment in its platform as well as scaling the company.
Prior to Advent’s investment, Tekion had raised US$65 million in equity financing from investors including Index Ventures, General Motors (GM), Alliance Ventures (Nissan-Renault-Mitsubishi), BMW iVentures, Exor, AME Cloud Ventures, alongside many dealer groups.
According to Forbes Magazine the funding will help the company to “use some of the money to expand internationally, with both Europe and Asia in its sights for next year”.