India’s auto classifieds marketplace is heating up, as the country’s burgeoning middle class becomes more auto dependent. In August 2009, MotorExchange acquired CarTradeIndia.com, apparently leading to investment in MotorExchange by Canaan Partners.
Now, Axel Springer, the German media company, and the India Today group have acquired 70.4 percent in Carwale.com, a company that previously teamed up with AOL India to provide vertical content. Axel Springer is taking 52.1 percent while India Today is taking 18.3 percent.
The acquisition complements the two companies’ JV on the Indian version of Auto Bild, a print magazine. Carwale had raised $7 million from Sierra Ventures in 2008.