Avito.ru, Russia's leading general classifieds platform, seems to be maturing as a classified site: the rate at which its revenue grows from quarter to quarter is slowing down. In Q2 of FY2017, it generated only 32 percent more revenue than in Q2 of FY2016 - down from growth of 46 percent in Q1 of FY2017.
Fifty-one percent of the net asset value (NAV) of Vostok New Ventures is contributed by Avito. But, in the Swedish run investment company, there are several other classified companies. Of course, the dream is that there might be a "new Avito" among them. Now, Vostok New Ventures might have identified the "new Avito".
The Swedish company Garantibil behind the auto platform Carable filed for bankruptcy. The company, which launched in 2012, raised a total of $12 million U.S. from investors. The last round of financing did not succeed and the plan to launch its platform in the U.S. never realized.
Vostok New Ventures held a capital market day in Sweden on June 9. The two Avito founders moderated the event. Among the speakers were Michael Lahyani and Henrik Persson. The entire event is available on YouTube (duration: 4 hours). We tell you where to scroll to for the juiciest bits on classifieds.
Last year, Vostok New Ventures waxed lyrical about an investment it had made in the used-car start-up Carable, called Garantibil in Sweden. The investment was made in Q2 last year. Not a big investment. Just SEK 10 million ($1.2 million U.S.). Less than one year later, it seems as if the money has been blown.
Vostok New Ventures thinks its 3-percent stake in Wallapop is worth $18.5 million U.S., which translates into a full value for the app of $616 million U.S.. The new value given to Wallapop by Vostok New Ventures is 60 percent up over the previous valuation.
Avito's revenue jumped 46 percent to RUB 3.3 billion ($58.4 million U.S.) in Q1 of FY2017 from RUB 2.2 billion in Q1 of FY2016, according to Vostok New Ventures.
South Africa-based auto startup CarZar has raised $1.5 million from Swedish investment firm Vostok New Ventures to advance techonlogy, boost marketing and expand its team.
In Vostok's Q4 report (published yesterday) CEO Per Brilioth revealed for the first time that the company has invested in the leading Swedish real estate site Hemnet, and holds a stake of 7 percent. Per Brilioth said: "We wish we could have bought more!”
Vostok New Ventures upped its valuation of the 13.3 percent it holds in Avito to $449 million U.S. - 33 percent higher than a year ago. Which means, Avito is now valued at $3.4 billion U.S..