Auto1 may consider a IPO in the future, but no need for money now: CEO

BERLIN (Reuters) – the German used-car dealing platform Auto1 said that it might seek a stock exchange listing in the future, but a 2018 cash infusion from the japanese Softbank has no immediate need for additional funding of the European growth plans.

FILE PHOTO: A worker loads a used car on a car-transporter truck on the company land in Zoerbig, Germany January 28, 2017.REUTERS/Fabrizio Bensch /File Photo

Last year Softbank, a deal that valued the Berlin-based Auto1 2.9 billion euro ($3.27 billion), making it one of Germany’s top so-called tech unicorns.

It is virtually unknown to the consumer, unless its a used car to buy arm Wir Kaufen dein Car (We’ll Buy Your Car) in Germany and similar names elsewhere. It operates from Finland to Romania, Portugal, 30 countries in total.

The turnover increased by 32 percent to 2.9 billion euros last year, and even though it is profitable in Germany, investments in other markets have led to a loss at the level of the group.

“At this time, an ipo is not an issue for us,” Auto1 co-founder Christian Bertermann told Reuters, adding this could change in the future.

Auto1 buys cars with his vehicle pricing database to calculate a quote within a few minutes and then sells the vehicles at one of the approximately 35,000 dealers for a commission.

The platforms helped 540,000 vehicles change hands in 2018.

The company will now also start with a retail platform to compete with Scout24 is Autoscout unit or Ebay offering, Bertermann said.

He confirmed a Reuters report on Auto1 the conversations with Scout24 about a takeover of Autoscout, adding that this would not lead to an acquisition.

Scout24 in February agreed to be acquired by acquisition groups Hellman & Friedman and Blackstone.

Auto1 was in Berlin by entrepreneur Christian Bertermann after problems with the sale of two old cars owned by his grandmother, together with the Koc, who previously worked at Rocket Internet-backed companies Zalando and Home24.

Reporting by Nadine Schimroszik,; Writing by Arno Schuetze; Editing by Alexandra Hudson

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