Sylndr, a Cairo-based startup, has recently secured $15.7 million in funding to expand its services beyond online used car sales into auto financing, servicing, and tools for dealers. The funding round was led by Development Partners International’s Nclude Fund, with a mix of fresh equity and previously unannounced seed financing.
The company, which operates in Egypt’s rapidly growing but underdigitized vehicle market, has also raised nearly $10 million in debt financing from local banks in the past year, bringing its total funding since inception to over $30 million. Founded in 2021 by Omar El Defrawy, a former executive at Elmenus, Sylndr initially focused on buying used cars directly from consumers, refurbishing them, and reselling them with a warranty and money-back guarantee.
Over time, Sylndr has evolved into a comprehensive mobility platform, offering digital auto loans, car servicing, and a marketplace for third-party dealers. The company aims to address the challenges in Egypt’s used car market, which has seen a surge in demand due to currency devaluation and rising prices for new imports. With over 6 million cars on the road in Egypt, the ban on used-car imports in 2021 has led to a reliance on domestic inventory, resulting in prices reflecting the exchange rate.
Sylndr sees an opportunity to formalize processes around inspections, standardized pricing, digital financing, and ownership transfers in a market estimated at $10 billion. The company’s platform has seen a significant increase in sales, with revenue growing exponentially since 2022. Sylndr’s CEO, El Defrawy, stated that the average sale price on the platform ranges between $20,000 and $25,000, remaining stable in dollar terms despite currency fluctuations.
To reduce its dependence on inventory and capital, Sylndr has expanded into new verticals, including Sylndr Swift for digital automotive financing, Sylndr Plus for inspections and servicing, and Al-Ajans for a dealer-to-consumer marketplace. These verticals are integrated into a single mobile app, offering a one-stop shop for buying, financing, and managing car ownership. The company’s revenue is now evenly split between direct-to-consumer sales and B2B transactions with dealers, with a focus on increasing profitability in financing and servicing verticals.
Sylndr currently works with over 1,000 dealers nationwide, providing an end-to-end solution for buyers and dealers across the value chain. Unlike other regional players, Sylndr’s infrastructure of inspection, refurbishment, and bank partnerships sets it apart in the market. The company plans to deepen its presence in Egypt, aiming to solidify its position as the largest used car trading company by volume and value in the country.
With investments from various VC firms, including DPI Venture Capital, Sylndr is poised to revolutionize mobility in Egypt by addressing barriers to ownership through its integrated commerce, credit, and technology model. The company’s growth and success in the market highlight its potential to reshape the automotive industry in Egypt and beyond.
