CarTrade Tech calls off proposed acquisition deal with Amit Jain-led CarDekho parent

Autotech firm CarTrade Tech has formally ended its proposed consolidation with Girnar Software, the parent company of CarDekho and BikeDekho, drawing a close to what could have been one of the largest mergers in India’s autotech sector.

In a stock exchange filing dated November 27, the company said both sides have mutually agreed not to proceed with the transaction at this stage.

CarTrade had first disclosed on November 11 that it was in early discussions with Girnar Software about a potential consolidation of their automotive classifieds businesses. According to earlier reporting, the talks included a possible all-stock acquisition of CarDekho. If completed, the deal would have brought together two major digital auto marketplaces and reshaped competition in a segment that includes players such as Cars24 and Spinny.

Media reports had indicated that CarDekho’s automotive classifieds operations were being valued at around $1.2 billion. CarDekho last raised capital in 2021 at the same valuation, backed by Peak XV Partners, CapitalG, Hillhouse and LeapFrog, among others.

Founded in 2007 by Amit Jain and Anurag Jain, the company today operates a portfolio spanning vehicle listings, insurtech through InsuranceDekho and fintech through Rupyy.

CarTrade, which went public in 2021, has been expanding steadily through acquisitions. It brought OLX India into its fold in 2023 and earlier acquired Shriram Automall, strengthening its online and offline presence. The shelving of talks with CarDekho now shifts the company’s focus back to its core brands such as CarWale, BikeWale, OLX India and Shriram Automall.

In its filing, CarTrade said its businesses operate in a wide and growing market and continue to offer strong fundamentals and long-term growth potential. The company added that it remains committed to pursuing product innovation and exploring strategic opportunities as part of its ongoing roadmap.

The update comes at a time when CarTrade is witnessing strong financial momentum. In the second quarter of FY26, its net profit rose more than oduble year-on-year to Rs 64.1 crore, supported by higher revenue and improved margins. Revenue from operations grew to Rs 193.4 crore from Rs 154.2 crore a year earlier. 

OLX India also delivered steady growth under CarTrade, reporting a 17 percent rise in revenue and a threefold jump in profit after tax. The company said OLX has maintained a consistent performance trajectory, posting a 30 percent Ebitda margin in the quarter.