Shift Technologies, San Francisco-based online marketplace for used cars, on Thursday, announced Series D financing of more than $140 million in equity and debt. The round is led by Lithia with participation from previous investors Alliance Ventures, BMW iVentures, DCM, DFJ, G2VP, Goldman Sachs Investment Partners, and Highland Capital.
This new capital will bring Shift’s total financing of equity and debt to $265 million.
“This collaboration gives us the resources we need to double-down on our technology investments and scale more quickly and efficiently. As our company enters this new growth stage, we cannot think of a better partner to have by our side,” Shift Co-CEO Toby Russell said in a statement.
Lithia’s President and CEO, Bryan DeBoer, will be joining Shift’s board of directors. In addition to investing, they will also launch a strategic partnership with Shift.
“We’re impressed with Shift’s technology platform and dynamic operational capabilities,” said Bryan DeBoer. “Like us, they are creating a digital marketplace and providing a retail experience wherever, whenever and however consumers desire. We are thrilled to have the opportunity to partner with a company that is a great cltural fit.”
“Since our first meeting with the Lithia team, we were happy to discover we shared many of the same company values, including the desire to make car buying and selling more affordable, accessible, and transparent,” said Shift Co-CEO Toby Russell.
The company, founded in 2013, has built a software platform that lets customers shop for cars, get financing and schedule test drives. Car owners can use the platform to sell their vehicle, as well. Shift says any car it buys must pass a “rigorous” 150+ point inspection.
The company plans to invest in its technology platform and scale its engineering staff from 35 to more than 80 people by the end of 2019, CEO George Arison noted to TechCrunch in an email. Shift employs 380 people. The company’s platform has focused on scaling in California; it covers about 80 percent of that market. But the company has long had its sights set on expanding beyond the Golden State.