Carvana partners with Slate Auto to expand into new vehicle sales

Carvana has secured the option to invest in electric-vehicle startup Slate Auto, which is backed by Jeff Bezos, according to corporate records reviewed by reporters.

Documents filed with Delaware’s Division of Corporations indicate that the online used-car retailer received a warrant allowing it to purchase shares in Slate Auto during 2025. The timing appears to coincide with the period when Slate Auto was assembling its $650 million Series C financing round.

Details surrounding the agreement remain limited. It is unclear whether Carvana has exercised the warrant or how many shares it may ultimately be entitled to purchase under the arrangement. Carvana declined to comment on the matter, while Slate Auto did not respond to requests seeking additional information.

The relationship between the two companies emerges as Carvana evaluates opportunities beyond its traditional used-vehicle business. According to reports from The Wall Street Journal, the company has recently acquired multiple Stellantis dealerships across the United States, fueling speculation that it may be preparing to enter the new-vehicle sales market.

During a recent earnings call, Carvana CEO Ernie Garcia III was asked directly about the company’s plans regarding new car sales. Rather than providing details, Garcia told analysts to “stay tuned,” suggesting that additional developments may be forthcoming.

The potential connection to Slate Auto could prove significant as the electric vehicle startup prepares for a major phase of its rollout. The company is reportedly only weeks away from announcing final pricing for its first vehicle and beginning to accept nonrefundable customer preorders.

Slate Auto’s first electric vehicle is expected to start at a mid-$20,000 price, positioning it as a more affordable option in the EV market. The startup has stated that it plans to begin delivering vehicles to customers before the end of the year.

Like Tesla and other electric vehicle manufacturers such as Rivian, Slate Auto has indicated that it does not intend to operate through traditional dealership networks. The company’s website states that customers will purchase vehicles directly from the manufacturer.

However, Slate has provided relatively few details about how it plans to manage the practical aspects of vehicle sales and delivery. Partnering with Carvana’s physical retail locations and operational infrastructure could simplify parts of the purchasing process and increase public awareness of the emerging EV brand.

Since emerging from stealth mode last year, Slate Auto has remained relatively private regarding its investor base. Shortly after the company’s existence first became public, reports revealed that Amazon founder Jeff Bezos and Guggenheim Partners CEO Mark Walter were among its financial backers.

In April, Slate disclosed that Walter’s investment firm, TWG Global, had led the company’s Series C financing round. The investment made Walter one of the startup’s largest shareholders.

Walter’s connections extend beyond Slate Auto. He also maintains a substantial ownership position in Carvana, holding approximately 8% of the company’s Class B common stock and about 1% of its overall voting power. Only CEO Ernie Garcia III and his father, Ernie Garcia II, possess greater control within the company.

There is also a possibility that Carvana has already provided investors with clues about its relationship with Slate Auto without publicly identifying the startup.

In a regulatory filing submitted in March, Carvana disclosed that it had received a warrant in June 2025 to acquire shares in what it described as a “private consumer products company.” While the filing did not name the organisation, Carvana stated that the warrant had an estimated aggregate value of $1.5 million at the end of 2025.

The filing further noted that the warrant would vest in stages through 2029, based on performance milestones jointly determined by the parties. Carvana also disclosed that Mark Walter held a “substantial ownership interest” in the company issuing the warrant.

The retailer stopped short of identifying the business involved, leaving open the possibility that the filing referred to Slate Auto or another company within Walter’s broader investment portfolio.

Although neither company has publicly confirmed the specifics of the arrangement, the reported investment option highlights the growing overlap between established automotive retail platforms and emerging electric vehicle manufacturers. As Carvana explores expansion into new-car sales and Slate Autonear nears the launch of its first vehicle, the relationship could become increasingly significant for both companies in the months ahead.