Automobile marketplace Droom raises USD 20 million for Series C round
Founders: Sandeep Aggarwal, Rishab Mali
Founded in: 2014
Financing status: USD 20 million for Series C round in 2017
Online automobile marketplace Droom has raised USD 20 million for Series C round led by Hong Kong-based Integrated Asset Management and a Japanese company, Digital Garage. Existing institutional investors such as Lightbox Ventures, BEENEXT and Beenos, along with many prominent institutional investors and family offices from China, Hong Kong, and Taiwan, have also participated in the round.
Droom was founded in 2014 by Sandeep Aggarwal and Rishab Malik. Droom is an online marketplace for buying and selling new and used automobiles.
The Gurgaon-based startup enables online automobile transactions by following four business models, i.e. B2C, C2C, C2B and B2B, with three pricing structures – fixed price, best offer and auction. The platform is not only limited to cars, but also offers a wide range of categories, including bicycles and planes. The platform also offers automobile services such as warranties, roadside assistance, insurance and auto loans. The company has built tech and data science tools to help create an entire ecosystem around used automobiles. Among other things, the ecosystem also provides engine pricing, 121-points vehicle inspection, 200-mile vehicle history records, and credit for used-vehicle loans. Droom claims to hold more than 65% of the online automobile transactions market share.
This round of funds will be directed towards investments in a technology platform and 2-3 technology focused acquisitions. The founder, Sandeep Aggarwal, notified local media outlets that Droom is planning to expand into the Southeast Asia market and is looking to get registered on NASDAQ by 2019 after meeting a gross merchandise volume target of about USD 2.5 Billion and a net revenue of about USD 55 Million.
(Top photo from Droom website)