Malaysia-based c-to-b-to-c automotive marketplace Carsome has postponed plans for an IPO that was supposed to take place in both Singapore and the US before the end of this year.
“While Carsome is capable of going public, it doesn’t really make sense to do so at the moment given market conditions and economic headwinds,” commented Carsome CEO and co-founder Eric Cheng.
The digital auto retail company, which was valued at US$1.7 billion in its last funding round, is seeking to become EBITDA positive in the coming quarters. To this end, it recently shed 10% of its workforce, while the company’s executives have foregone their compensation for a period.
At the same time, the company is expanding regionally, with the opening of its first Carsome Certified Lab reconditioning facilities in Indonesia and Thailand. These are located in the Cakung area of East Jakarta and Samut Prakan (part of the Bangkok Metropolitan Region), respectively.