Sequoia Said to Invest in Auto1 at $7.2 Billion Value Before IPO

Sequoia Capital agreed to invest in Auto1 Group SE at a valuation of about 6 billion euros ($7.2 billion) ahead of the German online car-trading platform’s initial public offering, people with knowledge of the matter said.

The U.S. venture capital firm and rival fund Lone Pine Capital reached a preliminary deal to each buy about 50 million euros of Auto1stock from early investor DN Capital, according to the people, who asked not to be identified because the information is private. They have agreed to a lock-up period of six months, the people said.

Sequoia and Lone Pine also signaled ...