eBay Enters Into Agreement to Acquire Caramel Providing a Simplified, Safe Online Vehicle Transaction Experience

Key Takeaways:

• eBay signs agreement to acquire Caramel to simplify vehicle transactions.
• Caramel’s platform handles paperwork, ownership transfer, financing, and more.
• The acquisition aims to enhance trust and convenience in online car sales.
• Transaction expected to close in the first quarter of 2025.
• Caramel was founded in 2021 and is based in Los Angeles.

eBay Announces Acquisition of Caramel to Simplify Online Vehicle Transactions

In a significant stride towards enhancing its online vehicle marketplace, eBay Inc. has announced that it has signed a definitive agreement to acquire Caramel, an end-to-end online automotive transaction solution provider.

Simplifying the Car Buying and Selling Experience

Caramel’s innovative technology platform offers a secure and seamless digital transaction experience, handling all the complexities of a vehicle sale. This includes paperwork, ownership transfer, financing, transportation, and more. Whether transacting on Caramel’s site or app, through an independent dealer, or via Caramel’s multiple marketplace and auction partners, the platform streamlines the process for users.

“The addition of Caramel will make buying and selling vehicles on eBay more simple than ever, regardless of which US state the vehicle and the buyer are located in,” eBay stated.

Building Trust in Online Auto Sales

Chris Prill, General Manager of eBay Motors, emphasized the importance of trust in vehicle transactions. “eBay’s acquisition of Caramel is about creating trust for vehicle buyers. Buying a car is a big moment. Caramel’s platform brings it all into one simple, seamless process: title and identity verification, insurance, financing—even shipping the car to the buyer after purchase,” he said. “With Caramel and eBay combining forces, both buyers and sellers will be able to complete vehicle transactions on eBay with greater peace-of-mind.”

Caramel’s Vision Aligns with eBay’s Goals

Edward Brojerdi, CEO and co-founder of Caramel, expressed excitement about the partnership. “We founded Caramel to digitize and simplify the used vehicle purchase process. Our platform has assisted the most prominent used vehicle marketplaces and auction sites in delivering a fully digital e-commerce experience,” he said. “eBay is the ideal partner for Caramel because its entire purpose is to reinvent the future of ecommerce for enthusiasts, connect people, and build communities.”

Craig Nehamen, CEO and co-founder of Caramel, added, “Caramel set out to make buying or selling a vehicle online as simple and convenient as buying or selling anything else online, minimizing fraud and risk, and all with just a few clicks or taps. Joining with eBay will enable us to continue bringing our seamless, safe solution to our current customers and new customers alike.”

Impact on eBay Motors

eBay Motors has long been a destination for automotive enthusiasts seeking a vast selection of auto parts and accessories. This acquisition allows eBay to extend that trust and convenience to vehicle purchases, providing buyers with a safe and trusted online platform.

About Caramel

Founded in 2021 and headquartered in Los Angeles, California, Caramel is a U.S.-based software provider offering a seamless end-to-end vehicle purchase experience. The company specializes in identity and title verification, financing, warranty, insurance, and transportation for online car transactions.

Details of the Transaction

The agreement to acquire Caramel was signed on January 11, 2025. Closing is subject to satisfaction of customary conditions and is expected to occur in the first quarter of 2025. Further details of the transaction have not been disclosed.

eBay’s Strategic Growth

eBay Inc. is a global commerce leader that connects millions of buyers and sellers around the world. In 2023, eBay enabled more than $73 billion of gross merchandise volume. The acquisition of Caramel aligns with eBay’s mission to empower people and create economic opportunity by enhancing trust and simplicity in online transactions.

Looking Ahead

The integration of Caramel’s technology into eBay’s platform is expected to revolutionize the online car buying and selling experience, providing greater convenience and peace of mind for users. As the transaction moves toward completion, both companies are poised to make significant strides in transforming the digital automotive marketplace.