Auctionata bolts on Paddle8

Katharina Semke
16 May 2016

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German online auctioneering startup Auctionata has bought its American competitor Paddle8.

Auctionata stated the two businesses have combined revenues of €132m, with 800,000 registered users. Both focus on the mid-sized market segment, with objects valued at up to €500,000. Each company will continue to operate independently with their existing management teams, but Auctionata CEO Alexander Zacke will henceforth head Paddle8.

The main focus of New York-based Paddle8 is on contemporary art and design, while Berlin-based Auctionata focuses on vintage objects.

Earlier this year, German business news magazine Wirtschaftswoche revealed that Auctionata's management allegedly used illegal methods to drive up object prices in the past.

Auctionata plans to go pubic this year.

Previous funding
Paddle8 has raised a total of €39m to date from backers such as Founder Collective, Mousse Partners and Skate Capital.

Auctionata claims it has raised €78m in total. Its most recent funding round in April 2016 saw German Startups Group investing an undisclosed sum.

In March 2015, Warsaw-based MCI Management led a €42m series-C funding round for Auctionata. New backers Hearst Ventures, Kreos Capital and Yuan Capital also participated in the round alongside existing investors Earlybird, e.ventures, Kite Ventures, Raffay Group, TA Ventures, Bright Capital, Ren Invest and Holtzbrinck Ventures.

Auctionata raised its €21.5m series-B funding round from Holtzbrinck, e.ventures and Earlybird in April 2014.

In 2012, it raised around $20m from e.ventures and Holtzbrinck, with Russian VC Bright Capital's digital arm investing approximately $2.5m. Earlybird committed a similar amount in April 2013.

Companies
Paddle8 was founded in 2010 and is headquartered in New York. It operates in the US and UK, and focuses on auctioning art, design items and collectables. Its revenues in 2015 stood at €44m.

Launched in May 2013, Auctionata live streams weekly auctions of art, antiques and collectibles. It also offers valuation, authentication, curation and related services. Auctions take place from its Berlin headquarters and its New York office; the company has additional offices in London, Zurich, Rome and Madrid. Auctionata's revenues in 2015 were €81m.

People
Auctionata – Alexander Zacke (CEO).
Paddle8 – Aditya Julka (co-founder).