Used car platform Spotawheel bags €300M in equity and debt

Used car platform Spotawheel, which offers used cars for subscription and sale across Greece, Poland and Romania, has secured €300m in a mix of debt and equity capital.

The debt facility was provided by Pollen Street Capital. 

Spotawheel did not break down the split between debt and equity or reveal details of its equity backers but said it was "a consortium of leading European investors".

Previous investors in Spotawheel include VentureFriends, and Velocity Partners. In total, it has raised €410m in debt and equity to date.

Spotawheel, founded in Athens in 2016, offers used cars for subscription or sale, leveraging its own proprietary technology. This includes personalised customer recommendations, it says. The B2C startup currently operates across Greece, Poland and Romania.

Spotawheel is tapping into the trend of drivers looking for an alternative to car ownership, amid rising car prices and household budgets under pressure.

It said it will use the funding to expand across Europe and increase its used car subscription fleet.

Charis Arvanitis, founder & CEO of Spotawheel, said: “Cars have become one of the most inflationary items in our daily lives. Consumers desperately need an option that doesn’t drain their disposable income. Spotawheel gives them that flexibility — the ability to adjust their car-related spending to life’s constant changes, without the burden of ownership.”

Michael Katramados, partner at Pollen Street, added: “We’re pleased to partner with Spotawheel’s talented team, whose innovative product and customer-centric approach have set a new standard for used car leasing options in Europe.

"This funding will enable Spotawheel to further expand its business, bridge critical gaps in used car financing, and strengthen its commitment to providing flexible, reliable mobility solutions for customers.”