Sydney construction halt results in prepayment demands
RO Capital Partners, the investment arm of the RO group, co-led a £ 1.1million funding round with the Cass Corporate Fund in Bamboo auctions, which provides online auction technology to real estate agents and auction houses. The cycle was supported by follow-on capital from existing investors and new angel investors.
Launched in 2015, Bamboo Auctions technology allows properties to be sold with immediate and legally binding contracts. Its marketplace makes transactions faster, more secure and more transparent. The business has continued to grow rapidly since its inception with over 1,000 properties, representing a total value of over £ 200million, having been sold using Bamboo’s platform over the past 12 years. month. Bamboo customers include Clive Emson, Stags, Bradleys, Hunters and Webbers.
Bamboo will use the growth capital to invest more in its technology to ensure it remains the best in the market, as well as to introduce new functionality and partnership integrations. It will also be deployed in smart advertising and marketing to drive sales growth; as well as maintaining the company’s high level of customer service.
Robin rathore, founder and director of Bamboo Auctions, said an average real estate transaction takes around 20 weeks, but by using its technology, agents can reduce that time to just five weeks. “The speed and certainty that our technology brings to the transaction has given our agent clients an invaluable market advantage, not only because it gave them the space and time to sell properties during times of lockdown. , but also because it has helped increase the number of instructions, increase the number of sales and increase average costs in general.
“Auctions are changing, and Bamboo is at the center of this movement. We are constantly innovating and, by listening to our agent clients, we strive to make our basic service the best in the market. “
The arrangement with Rightmove means that properties listed by agents through Bamboo’s platform will automatically be tagged as an auction property and have an up-to-date auction timer and status. Agents will also benefit from additional calls to action and clearer, more standardized information on each property listing page.
Edward Rowlandson, Group Managing Director, the RO said he launched RO Capital Partners in April 2021 to invest in active early stage technology companies and that proptech was a key market, given its broader real estate experience. “We are extremely excited about Bamboo, its offering and its use of technology to innovate in the real estate market,” he said.
Steve White, Group Commercial Director, the RO added: “The online auction market has grown significantly over the past year, and we are delighted to invest at such a critical point in Bamboo’s journey, as they are experiencing tremendous growth and rapid adoption by real estate agents and auction houses who are increasingly aware of the benefits of the Bamboo offering.
Helene reynolds, Managing Director and Chief Investment Officer of Cass Entrepreneurship Fund, said: “We have been impressed with the skills and expertise of the CEO of Bamboo and his team as well as the strong relationships established so far with clients and the partners. We look forward to working with Robin throughout the next stage of Bamboo’s growth and supporting the success of the business.
The pandemic and lockdowns have given a major boost to online real estate auctions – although they only account for 2% of all sales.
BidX1 has doubled its UK sales year on year, with £ 108million in property sold in 2020, up from £ 52million in 2019. The company has registered 6,980 property listings in the UK in 2020, resulting in the sale of over 320 assets, with an increase in the number of bidders of over 200% (click on here). It has formed a strategic partnership with London-based real estate agency Foxtons.