Spinny to buy GoMechanic from Hero-led consortium in ₹450 crore deal: Report

Indian used-car retail platform Spinny is set to acquire GoMechanic, a car-servicing and repair startup based in Gurugram, in a deal valued at about ₹450 crore, Moneycontrol reported on Tuesday, citing people familiar with the matter.

The cash-and-stock deal is expected to be signed later this month and will mark Spinny’s entry into the vehicle maintenance and after-sales services segment, according to the report.

The acquisition will see Spinny buy out a consortium led by Hero Group, Lifelong Group and Stride Ventures, which took control of GoMechanic in 2023 after a governance crisis prompted the exit of its founders.

The management team appointed during that restructuring will continue to lead the business, the report said.

GoMechanic operates a network of workshops across more than 150 cities and has undergone a turnaround under the consortium, which streamlined operations and improved cost efficiency.

Spinny plans to integrate GoMechanic’s nationwide network to build a seamless ownership experience for customers.

Spinny raised $40 million in June from WestBridge Capital in an extended Series F round, bringing total funding in that round to about $170 million and valuing the company at roughly $1.7 billion.

In the financial year ending March 2025, Spinny narrowed its net loss by 28% to ₹424 crore, while revenue rose 25% year-on-year to ₹4,657 crore.

The Spinny-GoMechanic transaction is expected to close by late November, subject to customary approvals. GoMechanic will retain its brand identity in the near term and gradually integrate into Spinny’s technology and customer interface, Moneycontrol said.