Singapore-based venture capital firm Rigel Capital has invested an undisclosed sum in India’s Wisedrive, a warranty tech company that uses AI-driven extended warranty offerings to transform the used car market.
“We are thrilled to partner with Rigel Capital to expand our pre-owned car warranty business to Southeast Asia,” said Wisedrive CEO Kalyandhar, in a statement. This collaboration will enable the company to bring its solutions to additional markets, enhancing the customer experience and ensuring peace of mind for car owners across the region, he added.
Rigel Capital CEO Sebastian Togelang said Wisedrive’s approach to extended warranties, which includes AI, mobility, and sustainability, aligns with the firm’s commitment to the artificial intelligence sector.
Wisedrive partners with authorised service centers of brands like Honda, Hyundai, and Maruti, as well as OEM workshops to provide a transparent and user-friendly warranty experience. Wisedrive, which claims to be the leading warranty provider in Bengaluru for used car buyers, boasts a claim rate of less than 1.5%, below the industry average of 6-7%.
It also offers a 100% buyback guarantee at 100% of the purchase price and zero depreciation for 365 days. Its extended warranty plan starts at Rs 7999, according to its website.
Wisedrive backer Rigel Capital is focused on supply chain, logistics, green mobility, e-commerce enablement, and other technology verticals in Asia, with a focus on Southeast Asia, India, and the Middle East.
In November 2023, Rigel Capital along with Twin Towers Ventures led an investment in Indonesian electric vehicle maker PT Energy Selalu Baru (ESB), which owns the two-wheeler brand Volta.
Rigel’s other portfolio firms include India-based MetalBook, an e-commerce company that connects metal suppliers and consumers globally; Indonesia’s marketplace startup BeeMarket, which focuses on local brands and micro, small, and medium enterprises; and Indonesia’s HR platform Byru.
