Jardine Cycle & Carriage, a prominent regional automotive player, and Carro, a leading tech used car platform, have announced a strategic partnership aimed at revolutionizing the used car and aftersales sectors of automotive retailing. Valued at over USD60 million, this groundbreaking collaboration brings together the strengths of both companies to create a hybrid analog-digital ecosystem that promises to reshape the industry.
Through this partnership, JC&C will acquire an interest in Carro, while Carro will gain an equivalent stake in JC&C’s used car subsidiary, Republic Auto, which stands as one of Singapore’s largest used car dealers. The goal is to enhance their existing used car and aftersales businesses by leveraging each other’s expertise and resources. By combining their ecosystems, JC&C and Carro aim to optimize efficiencies and expand market opportunities across the used car and aftersales value chains.
JC&C will appoint a representative to the board of Carro, contributing its extensive operational experience to guide the partnership towards mutual success. Simultaneously, Carro’s digitally-led platform will provide technological advancements that complement the operations, allowing for accelerated participation in high-growth segments within the new economy.
The alliance positions Carro to benefit from JC&C’s comprehensive infrastructure, market knowledge, and established networks. Carro will gain immediate access to an expanded range and supply of high-quality used cars, augmenting its offerings and setting it apart from competitors. The partnership will also facilitate Carro’s digital transformation of Republic Auto, enabling enhanced customer experiences and operational efficiencies in the premium used car segment.
In addition, JC&C and Carro will establish an aftersales joint venture, initially focusing on Singapore and Malaysia, to launch a multi-brand aftermarket workshop business. Leveraging Carro’s proprietary technology capabilities, the venture will seamlessly integrate the online-to-offline value chain, enhancing customer touchpoints. With JC&C’s expertise and experience as a seasoned operator, the joint venture aims to expand into ancillary businesses within the aftermarket space.
Mr. Wilfrid Foo, JC&C’s Managing Director for Direct Motor Interests, expressed the company’s rationale behind partnering with Carro, stating, “We look beyond used car wholesaling and retailing, setting our sights on the larger ecosystem that facilitates deeper cooperation in financing, insurance, and aftersales. The partnership will enable us to scale up our operations and capabilities faster by leveraging our combined areas of expertise.”
Carro’s Chief Executive Officer, Mr. Aaron Tan, highlighted the benefits of tapping into JC&C’s networks and regional understanding, stating, “I have always admired JC&C as a company, and this strategic investment allows us deeper access to learn from and grow with the best in our industry. By leveraging JC&C’s strengths, we are confident that we will continue to stay ahead of the competition and further boost Carro’s market position.”
The partnership between JC&C and Carro signifies a significant step toward redefining the used car and aftersales segments in the automotive retailing landscape. With their combined forces, these industry leaders are poised to revolutionize the customer experience, drive operational efficiencies, and capitalize on the opportunities presented by emerging technologies, ultimately reshaping the future of the industry.
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