British online used car dealer Cazoo has acquired London-based data insights platform Cazana for around £25 million ($34 million U.S.). The low price indicates Cazana may have needed a pivot and new ownership.
Cazana has built one of the most extensive vehicle pricing data sets globally, with over 500,000 historic vehicle prices from transactions in over 40 countries – including the U.K. and Germany and France, countries Cazoo has targeted for its expansion – since launching in 2012.
Cazoo, which debuted on the NYSE last week, will take on Cazana’s team of over 50 staff, including data scientists and engineers, which will improve Cazoo’s pricing data and tools, to optimize its ability to both buy and sell vehicles, the company said in a statement.
Cazana products include real-time valuations, pricing trends and stock management tools, which are used by vehicle manufacturers, lenders, fleet owners and insurers
Cazoo recently launched a monthly car subscription service for both new and used cars in the U.K. and is preparing to launch this service in France and Germany later this year. Cazana’s subsidiary Car & Classic did not form part of this transaction and CEO Tom Wood and COO Chris Varin will remain with the Car & Classic business, according to the statement.
“Cazana has built one of the leading data insights platforms, providing tools which are used by manufacturers, lenders, fleet owners and insurers in the automotive space,” said Cazoo CEO and founder Alex Chesterman.
“This acquisition will enhance our data team and capabilities and enable us to further optimise our buying and pricing of vehicles across the UK and Europe.”