Carvana Acquires Fintech Startup Carlypso for Undisclosed Sum

Carvana (NYSE:CVNA), a Phoenix-based online-only used car dealer, announced that it has acquired Carlypso. Financial terms of the deal were not disclosed.

Initially established as a peer-to-peer car selling service, Carlypso evolved into a managed marketplace, giving consumers direct access to wholesale inventory. Carlypso focused on ingesting, standardizing and organizing data on vehicles that the site could not physically inspect, and on scaling that process to analyze over 200,000 cars each day. The company developed proprietary big data, analytics, and machine learning tools that could dynamically filter, value and price cars nearly instantaneously, without actually seeing them — tools that can integrate with similarly purposed proprietary technology Carvana has created.

“We’ve admired what Carlypso has been doing from a distance, and when they walked us through the technology, we realized how unique their solutions were,” said Ernie Garcia, Carvana founder and CEO.

Founded in 2013 by Chris Coleman and Nicky Hinrichsen, Carlypso previously raised $1.3 million in venture capital financing.