Additional US$10 million equity
funding from other strategic investors in a subsequent close to
Aimia's US$35 million raise completes
the company's target funding size of US$45
million
TORONTO, Aug. 30, 2021 /PRNewswire/ --Trade X Group of
Companies Inc. (TRADE X), a global B2B automotive trading platform,
today announced it has completed its financing round as initially
announced on July 27, 2021, to fuel
the company's growth and drive forward its mission to eliminate
barriers to buying and selling pre-owned vehicles across
international borders. The additional equity funding of
US$10 million, at a US$250 million pre-money valuation, is led by a
group of new investors, including EchoVC, Frontier Ventures,
and Ugrowth (University Growth Fund).
As part of this funding round, TRADE X announced in July that it
had raised US$35 million in equity
from its lead investor Aimia Inc. (TSX: AIM), a Toronto-based publicly listed holding company.
Earlier this year in February, TRADE X closed a transaction for a
senior secured revolving line of credit of US$50 million, including an accordion to expand
up to US$100 million. TRADE X will
deploy the capital raised for acquisitions and global expansion
across North America, Europe, Asia,
Africa, and the Middle East.
"We are humbled by the support that we have received this year
from investors who are confident that the market for international
trade in pre-owned vehicles is ripe for disruption," said
Luciano Butera, EVP and COO of TRADE
X. "Cross-border trade in pre-owned vehicles was complicated and
full of friction before TRADE X: The global automotive industry had
no real place to connect, obtain accurate pricing information,
trade financing, compliance, and logistical support. TRADE X solves
these challenges by providing a highly transparent, secure, and
compliant marketplace for automotive buyers and sellers to
transact, accelerate their inventory turnover and boost their
profits."
Eghosa Omoigui, Founder and
Managing General Partner at EchoVC, commented: "Trust in the
automobile supply and commerce chain is incredibly important to
consumers and businesses alike. As global trade becomes more
interconnected, syndicating trust in an automated manner becomes
increasingly key. TRADE X is poised to facilitate a dramatic
increase in the volume of quality pre-owned vehicles traded
internationally. For the first time ever, it will be logistically
and economically feasible for buyers to secure vehicles between
Africa, the Middle East, and Europe, or between the US, Canada, and Mexico. This represents a tectonic shift in
trade, and we are incredibly excited to back TRADE X's mission to
automate and streamline global vehicle commerce."
"Having previously invested in digital marketplaces for the
global automotive industry, we witnessed firsthand the lack of
efficient digital solutions for cross-border pre-owned vehicle
trade," said Dmitry Alimov, Founding
Partner of Silicon Valley-based venture fund Frontier Ventures.
"TRADE X is an innovative tech company with a high-caliber team, a
receptive customer base, and global focus. We look forward to
providing them with resources from our Frontier Ventures team,
including access to our relationships in the tech ecosystems of
Europe and Asia-Pacific."
"Structural, legal, and financial barriers have created massive
market inefficiencies in international
auto trade despite increasing cross-border demand
worldwide. University Growth Fund is thrilled to be partnering with
TRADE X as they work to remove these barriers and unlock massive
opportunities for both buyers and sellers worldwide," said
Peter Harris, Founding Partner at
Ugrowth. "TRADE X's platform will give buyers access to
more options and better pricing while giving sellers a larger
market through which they can move vehicles."
TRADE X simplifies the process of buying and selling pre-owned
vehicles internationally, handling all processes, procedures and
documentation to ensure each transaction is compliant, insured, and
monitored from start to finish. Users can search for and request
specific vehicles, view global pricing analytics, post vehicles for
sale, assess economic viability, leverage arbitrage opportunities,
obtain trade financing and transact in the currency of their
choice.
TRADE X handles all quality checks, international payments,
transport, logistics, retitling, engaging registered importers,
homologation, customs clearance, and speedometer conversion across
borders, effectively eliminating each complicated step that was
previously the responsibility of the buyer to handle manually. By
standing as the trusted third-party escrow, TRADE X provides peace
of mind and security for all users, whether they are trading on
their own continent or overseas.
About TRADE X
With headquarters in Ontario, Canada, TRADE X is the first global
vehicle marketplace to aggregate cross-border supply and demand for
car dealers, fleet owners, rental companies, mobility solution
providers, importers, and exporters, opening new trading corridors
to buy and sell vehicles. The TRADE X 'Brain' platform is a
machine-learning, AI-driven technology that connects buyers and
sellers through a transparent marketplace that aids sellers in
finding the world's highest bidders and gives buyers access to the
best source markets and price arbitrage opportunities. Users can
quickly and seamlessly transact online in a secure environment with
all the complexities of international trade – compliance,
anti-money laundering regulations, vehicle inspection, currency
exchange, digital trade documentation, payments, and financing –
all managed by TRADE X. The company serves authorized buyers and
sellers everywhere with a user-friendly app available 24/7 via
mobile, tablet, or desktop. TRADE X's largest investors include
Aimia Inc., a publicly traded holding company listed on the Toronto
Stock Exchange (TSX: AIM). To learn more, visit
www.tradexport.com.
Media Contact:
Patty
Buchanan
JConnelly
(973) 567-9415
pbuchanan@jconnelly.com
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SOURCE TRADE X