Kavak has successfully acquired the Turkish used car platform Garaj Sepeti to expand its operations into the European market.

Target Information

Kavak, a leading used car buying and selling platform founded in 2017, has recently acquired Garaj Sepeti, a Turkish company specializing in the used car sector. This strategic move marks Kavak's first entry into the European market, enabling the company to expand its operations beyond Latin America, where it has established itself in Mexico, Argentina, Brazil, and is poised to enter Chile shortly. The valuation of Garaj Sepeti at the time of acquisition was approximately $40 million.

Industry Overview in Turkey

The used car market in Turkey has been witnessing significant growth, driven by rising consumer demand and an increasing preference for pre-owned vehicles. As of 2023, the Turkish used car market has expanded, benefiting from the economic climate and growing access to financing options for consumers. This surge in the market has made it an attractive sector for both local and international investors.

Measuring the impact of the COVID-19 pandemic, the used car industry in Turkey rebounded quickly as consumers shifted away from public transportation and new car purchases to more affordable alternatives. This shift