Yandex agreed on Monday to purchase Auto.ru, a Russian online auto-classified company for approximately $175 million in cash. Yandex is a Netherlands based Internet company.
Alexy Tretyakov, the vice president of commerce at Yandex stated that Auto.ru operates the largest catalog for both new and used cars in all of Russia. According to Yandex, as of right now the company has more than a400,000 unique listings for a wide range of vehicles. Auto.Ru sells new and used vehicles placed by not only individuals, but also auto dealers.
Yandex estimates that Autu.ru is to be the leading vehicle website in Moscow and among the top three in that category in Russia period. While the deal has been officially concluded, the acquisition itself will not be complete until the third quarter of this year.
It’s very likely that Yandex wanted to adopt Auto.ru purely to expand their business. As Auto.ru is the largest online car listing website in the nation, the site likely generates a massive amount of revenue. It also shows that online purchasing is growing.
It’s already been demonstrated with websites such as Amazon that online listing has become more important than ever. With many customers coming across certain products online, it’s important for companies to have a strong online presence.