Cazoo, a UK-based online marketplace for used vehicles, obtained £240m ($308m) in a funding round today featuring DMG Ventures, the corporate venturing arm of media group Daily Mail and General Trust.
General Catalyst and D1 Capital Partners co-led the round together with funds managed by Fidelity and Blackrock. The round also featured including L Catterton, Durable Capital Partners, Spruce House Partnership, Novator, Mubadala Capital and unnamed backers.
Cazoo is now valued at more than $2.5bn, according to TechCrunch, up from $1bn just over three months ago.
Founded in 2018, Cazoo operates an online dealership focused on second-hand, fully reconditioned vehicles. Customers can also access car financing and calculate the value of a part exchange.
Alex Chesterman, founder and CEO of Cazoo, said: “Over the past few months we have seen an acceleration in the shift from offline to online car buying as UK consumers have continued to embrace our unique and market-leading proposition.
“This latest funding demonstrates the conviction of some of the world’s best investors in both our business model and team as well as the UK market and gives Cazoo the firepower to deliver on our plans to provide the best possible car buying experience for UK consumers.”
DMG Ventures previously joined General Catalyst for a Draper Esprit-led $31.3m funding round in June 2020 that brought its overall funding to approximately $250m.
DMG Ventures already led a $117m round in March 2020, with commitments from Eight Roads Ventures, a subsidiary of investment and financial services group Fidelity, and CNP, a division of financial holding company Groupe Frère-Bourgeois.
Mubadala Capital, General Catalyst, Octopus Ventures and Stride.VC also participated in the March round, the former two having joined unnamed investors to supply $32.2m in funding in December 2019.
DMG Ventures, Stride.VC, Entrée Capital and Octopus Ventures provided $30.4m in funding in September 2019, after the same consortium had invested $38.3m in seed capital for Cazoo in late 2018.
