Droom, India’s AI-driven online automobile marketplace, has been valued at US$ 1.2 billion in the latest round of funding. The company has closed the first leg of its ongoing pre-IPO growth funding round of up to US$ 200 million. In addition to participation by several existing investors, new investors including 57 Stars and Seven Train Ventures participated in the first closing of the round in Q2-21. The company is pursuing a dual-track for a possible IPO and aims to be listed either on NASDAQ or in India in 2022.
Droom’s current annual run-rate is US$ 1.7 billion for GMV and US$ 54 million for Net Revenue. The company remains on track to touch a GMV of US$ two billion and a Net Revenue of US$ 65 million+ in CY2021. With the current scale, technology-oriented business, and operational efficiency Droom is nearing profitability.
Commenting on the milestone, Sandeep Aggarwal, Founder and CEO, Droom said, “Over the past seven years, we have invested millions of dollars and thousands of human hours to build a full technology-based end-to-end transactional marketplace for buying and selling of automobiles online. We have developed the complete technology-based machinery starting from first-mile services such as OBV, ECO, and History to mid-mile services like loan and insurance and last-mile services like doorstep delivery. Droom has been on a steady growth trajectory after Covid. While automobile is the largest retail category, it is the least penetrated online. In a post-pandemic world, we expect automobile buying and selling to shift online rapidly.”
Commenting on the association, Gene Pohren, Managing Director, 57 Stars said, “Globally we are seeing automobile buying and selling shifting online, for both ICE and electric vehicles. We think Sandeep and his team have built an impressive digital ecosystem that can revolutionise the automobile buying and selling experience.”