Portfolio

Frontier Car Group announces $400M investment from OLX, who becomes FCG’s largest shareholder

NOV 11, 2019

BY BALDERTON

OLX Group (OLX), Prosus’ classifieds business, announced today its intention to increase its ownership in online car marketplace Frontier Car Group (FCG), becoming the company’s largest shareholder.

Sujay Tyle and Peter Lindholm at OLX

Balderton first invested in Berlin-based Frontier Car Group in 2016 at Seed stage.  We went on to lead the company's Series A in late 2016, and followed on in the $41M Series B round in 2018.

In the three years since our first investment, the company's co-founders Sujay, Peter and Andre [Sujay Tyle, Peter Lindholm, Andre Kussman] have built a formidable business, now in 400 locations in ten countries on every continent.

We all send many congratulations to the FCG team on reaching this milestone, and we all look forward to observing the next phase of their growth.

Read Balderton Partner Daniel Waterhouse's Medium post about our investment in Frontier Car Group here.

Daniel Waterhouse caught up with Sujay Tyle, Founder & CEO of Frontier Car Group at the Balderton CEO Collective in May 2018, a biennial event that Balderton hosts to bring together all the CEOs in the portfolio

When we first met the founding team in Berlin in 2016, we all recognized their passionate vision for the opportunity in emerging markets and the powerful impact bringing venture capital to those markets could offer. Co-founders Sujay, Peter and Andre [Sujay Tyle, Peter Lindholm, Andre Kussman] then went on to execute on that vision with remarkable energy and focus, building a powerful technology platform to fuel the business, and growing the company from a standing start to $700m worth of cars sold/year, and over 1,700 employees in 400 locations on every continent, in just three years. We’re truly excited for their future with OLX.

Daniel Waterhouse, Partner, Balderton Capital;

FCG has nearly tripled performance across every key metric since the first OLX Group investment less than 18 months ago and has expanded to four new countries in that time. This is a testament to FCG’s team, the ripe market opportunity, and the results of early integration with OLX in our key markets. Together with OLX and Prosus, we are aiming to revolutionize the used car market in several emerging and developed economies by adding trust, transparency and a comprehensive suite of services to all participants in the ecosystem.

Sujay Tyle, Co-founder & CEO, Frontier Car Group

Read about the story on Reuters here.

Sujay talks to Marcus Swanepoel, Founder & CEO of Luno, Bran de Zwart, Founder & CEO of 3D Hubs, Cameron Stevens, Founder & CEO of Frontier Car Group, and Colin Hanna of Balderton at the Balderton CEO Collective 2018

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