Led · Debt Financing · Jul 2023

Carvolution operates a car-subscription (Auto‑Abo) service and is described in the article as the Swiss market leader in that segment. The company is an Oberaargau startup that uses fleet financing as a core part of its business model. It recently secured up to CHF 200 million in external financing to support growth. The funding package is asset-backed debt supplemented by a mezzanine facility. New lenders include the British bank Barclays and a mezzanine provision arranged with clients of Waterfall Asset Management. Carvolution says it will use the capital to expand its vehicle fleet, sustain its growth trajectory, and further build on achieved profitability. Carvolution is a Swiss car subscription platform that lets consumers choose a car on a monthly subscription instead of committing to purchase or lease. The service bundles insurance and maintenance to provide a one-stop solution for getting on the road. Carvolution describes itself as a next-generation mobility services provider. The company plans to use newly secured funds to expand its fleet of vehicles and accelerate growth. Financially, it has secured a €25 million working-capital facility and, including this facility, has raised approximately €69 million to date. Carvolution was founded in 2018 and counts investors such as Redalpine, Armada Ventures, Ringier Digital Ventures, Die Mobiliar, Francisco Fernandez, and Stefan Muehlemann among its backers. Carvolution operates a car subscription platform that lets customers select and book a car online, have it delivered, and pay a monthly fixed price that includes insurance, registration, taxes, maintenance and tyres. The company positions its offering as a full-service "carefree package," handling paperwork and providing customer support via its app. Led by CEO Olivier Kofler, Carvolution recently founded the subsidiary Farie AG earlier in the year. The company intends to use the new funds to further expand its core car subscription segment and to simplify buying and selling of used cars by shifting that process online. No revenue or user metrics were disclosed in the article. Carvolution is a pioneer in the Swiss car-subscription market, providing subscription-based access to vehicles as an alternative to ownership or leasing. Founded in 2018, the company positions itself on simplicity, flexibility, and a digital customer experience. Management says the model responds to growing market demand, with experts forecasting car subscriptions could reach up to 40% market share by 2030. The business is capital-intensive and focused on scaling its offering and marketing to educate the Swiss market. Recent investors are expected to support expansion, product development, and go-to-market activities. Carvolution is a Swiss market leader in car-subscription (Auto-Abo) services. The company offers subscription-based access to cars and is expanding its offering to meet rising demand. To increase financial flexibility and support growth, CEO Olivier Kofler is pursuing external debt financing. Shareholder and insurer Mobiliar has granted a CHF50 million framework credit. Mobiliar had also participated in Carvolution's most recent equity round. Carvolution reported year-over-year growth of over 210% and will use the credit line to scale its services from its base in Bannwil (Bern).