Mint Hyderabad

Rupyy eyes market share push with used CV financing

- Samiksha Goel samiksha.goel@livemint.com BENGALURU

Rupyy, the digital lending and used-car financing platform of CarDekho Group, is planning to expand its services to include financing of used commercial vehicles to boost its market share in FY25, Namit Jain, founder and chief executive, said.

“We will launch a new product line for commercial vehicle financing, in the first quarter of next financial year,” Jain said.

At present, Rupyy provides loans for buying used passenger vehicle, new cars, and electric vehicles. Jain said the used commercial vehicles market, comprising light commercial vehicles such as pick-up trucks, is twice the size of the about ₹60,000 crore used passenger car market in India.

Commercial vehicle financing will address a substantia­l market demand, Jain said.

Despite widespread financing options for used commercial vehicles, addressing about 90% of the transactio­ns, the lack of technologi­cal integratio­n and digitizati­on compared with passenger vehicle financing offers opportunit­ies, he added.

Rupyy intends to introduce digital solutions for the sector to simplify the loan process, aligning it with their existing technologi­cal initiative­s in the used-car market.

While the processing time for used-car loans has considerab­ly decreased compared with a decade ago, transactio­ns for used commercial vehicles still lag, often requiring 5–6 days to finalize, Jain said.

“What we’ve seen in commercial, and used commercial vehicles is that the degree of technology adoption and digitizati­on is very poor…[W]e would want to introduce a lot of technology interventi­on that we had brought for used cars and digitize this sector.”

Parent CarDekho, an autotech unicorn, posted revenues of ₹2,331 crore in FY23, marking a 46% increase over FY22. During the same period, its losses widened from ₹535 crore to ₹562 crore. But it does not include accounting gains of ₹290 crore, representi­ng an exceptiona­l onetime mark-tomarket gain on investment­s in associates. Adjusted for these gains, the reported losses stood at ₹246 crore, CarDekho said.

The company said it had maintained a strong growth trajectory due to its growth engines, including insuretech platform InsuranceD­ekho, and Rupyy, along with its Southeast Asia business. The firm, which holds 14–15% share of the used-car financing space, is aiming for a 20% share in FY25.

Rupyy intends to introduce digital solutions for the used commercial vehicles sector to simplify the loan process

 ?? ?? Namit Jain, founder & CEO, Rupyy.
Namit Jain, founder & CEO, Rupyy.

Newspapers in English

Newspapers from India