Carmerce raises $2.3 mn in Series A led by Hankook Tire

South Korea's used car e-commerce platform Carmerce has raised 3 billion won ($2.3 million) in a Series A funding round led by Hankook Tire & Technology, South Korea’s largest tire maker.

Carmerce, launched by mobile car distributor Handle Co., Ltd., allows customers to buy, sell, finance and return used cars on a 100% mobile platform. It also received seed investment from startup accelerator Sparklab last year.

The company said it will use the new funds to hire more developers, upgrade its services and expand its marketing activities.

It will also collaborate with various financial service providers to develop used car loan products.

Hankook Tire said it plans to build a sustainable and developmental partnership with Carmerce as its strategic business partner based on the common ground of "mobility."

The two parties will explore various collaborations such as platform technology development, service planning and promotion.

Write to Hyung-Kyu Kim at khk@hankyung.com