TrueCar, the online shopping site, last week hired former Hyundai boss John Krafcik to guide its growth as a public company.
Krafcik, 52, came to TrueCar Inc. just a month ago as a member of the board of directors.
Online car sites are growing as auto shopping shifts to the Web. But AutoNation Inc. and other dealership groups are wary of the growing cost of sales leads, as well as the push by sites into new products.
In an interview last week, Krafcik said he would like to talk about new products that TrueCar intends to roll out in the coming months, but he can’t because of a quiet period required as part of the company’s initial public offering.
In the company’s stock registration, TrueCar said it planned to launch TrueTrade, TrueLease and TrueLoan as ancillary products.
IPO on horizon
With Krafcik in charge of day-to-day operations, TrueCar founder and CEO Scott Painter said he will turn more of his attention to investor and customer relations. He insists, though, that he will remain hands-on in product development.
“I went from 15 direct reports to five,” Painter said.
He said Krafcik will keep his TrueCar board seat.
Krafcik was at the helm of Hyundai Motor Co.’s American arm for five years. But Hyundai did not extend his contract, and he left at the end of 2013. Hyundai sales rose 79 percent from 2008 to 2013.
With the stock offering, TrueCar intends to raise $125 million to finance growth and roll out new products. The number of shares offered and initial share price have not been determined, according to TrueCar’s registration statement. The company last month filed its statement for an initial public offering of stock.