Cazoo secures $630m in private placement led by Viking Global Investors
The financing provides multi-year capital to support international expansion and reinforce liquidity.
≈ £465M at $1 = £0.7381 on 10 Feb 2022
Cazoo operates an online marketplace for buying, financing and leasing used cars across the UK and continental Europe.
Cazoo has raised $630m through the issuance of convertible senior notes via a private placement. The transaction was led by Viking Global Investors, with participation from existing backers including Mubadala Investment Company, D1 Capital and Willoughby Capital.
The fresh capital is intended to reinforce the company liquidity and support international expansion and growth initiatives, including scaling operations in France, Germany, Spain and Italy. The funding brings Cazoo to a pro forma cash balance of $900m.
The notes carry a 2.00% interest rate and are convertible into Class A Ordinary Shares at an initial price of $5.00, representing a premium over the recent trading average.
From the founder
"This transaction, where we have raised an additional $630 million, further reinforces the strong belief in Cazoo from new and existing shareholders who, like us, are extremely excited about the huge market opportunity that we have ahead of us. We are now very well-funded for the coming years to continue to capitalise on this opportunity and deliver the best car buying and selling experience for consumers across the UK and Europe."
Alex Chesterman
Founder & CEO at Cazoo
Use of funds
- 01Expand into international markets
