With the Presidio Group acting as exclusive financial advisor, STELLA Automotive AI on Monday announced the closing of its Series B financing round, which raised $22.1 million to accelerate commercial expansion, scale go-to-market initiatives and support continued product development.

According to a news release from Presidio Group, the round was led by Maroone USA, and the raise consists of both newly invested capital and outstanding convertible notes that converted into the Series B financing.

“The support we’ve received from our investors reflects the momentum STELLA has built in automotive retailing and the confidence the market has in our vision,” STELLA CEO Rich Sands said in the news release. “Dealers are increasingly looking to artificial intelligence to strengthen customer engagement, operate more efficiently and create better experiences for their customers.

“This financing positions us to accelerate our growth, reach new clients and continue investing in new capabilities to help dealers drive measurable operating improvement,” Sands continued.

STELLA provides artificial intelligence-powered customer engagement tools for dealerships, including inbound call handling, service scheduling, lead nurturing and outbound engagement.

Its platform uses proprietary conversational AI to manage high-volume customer interaction, enabling dealerships to improve their responsiveness, capture incremental revenue and reduce operational costs.

STELLA mentioned it is integrated with leading dealership software platforms to improve productivity and efficiency across dealerships’ sales and service departments.

Building on capabilities first developed for inbound customer interactions, STELLA has expanded into outbound customer engagement with the launch of its Catalyst tool, creating a full-lifecycle engagement platform for dealerships.

Catalyst positions dealerships to proactively drive service demand, re-engage idle customers and increase revenue opportunities.

“When evaluating technology investments, we look for products that can help dealers operate more efficiently and deliver a better customer experience,” said Michael Maroone, CEO of dealership group Maroone USA, an early adopter of STELLA technology and an investor in the company.

“We’ve seen firsthand the impact STELLA has had in helping our dealerships improve both customer engagement and productivity,” Maroone continued. The products address real dealership needs, and the company’s continued growth reflects the value dealers are getting out of the technology. We’re excited to support its continued expansion.”

STELLA added that strategic investors with deep automotive retail expertise like Maroone provide the company with direct insight into dealership operations and evolving customer expectations, as well as real-time feedback on how its products are performing in the market.

Presidio Group CEO Brodie Cobb wrapped up the developments this way.

“As artificial intelligence moves rapidly from emerging technology to a core operating tool for auto retailers, tech providers that stay closely connected to their dealer customers are best positioned to refine their products and respond to changing needs,” Cobb said. “Dealers are increasingly looking for tools that can improve efficiency, strengthen customer interactions and generate measurable returns on investment.

“The strong support for this financing round reflects a growing conviction throughout the industry that AI will play a central role in the future of automotive retail — and that STELLA will be a key part of that story,” Cobb went on to say.

In a previous episode of the Auto Remarketing Podcast, Sands was part of a panel discussion about smart dealers and automotive companies now leverage AI. The conversation is available in the window below.