New Delhi : India’s pioneering online automobile marketplace Droom today announced the closing of its Series B funding in a round led by BEENEXT from Singapore and Digital Garage from Japan.
The company announced the use of the Series B funding to expand its domestic operations and strengthen its technology platform.
Majority of the existing investors, including Lightbox and BEENOS, are participating in the current round.
With presence in 142 cities already, Droom Founder and CEO Sandeep Aggarwal informed about the company’s expansion to Indonesia in the third quarter of the fiscal, followed by other countries like Malaysia, Vietnam, Thailand, the Philippines and Singapore.
“The fresh funds will be used to further strengthen the dominating position in the online market for automobile in India, make platform more scalable and functionally rich, and expand internationally,” he added.
“We have been witnessing tremendous growth over the past 16 months in terms of adoption by sellers, number of categories and listings, geographical presence in 142 cities across in India, and GMV/transactions. We are very delighted that BEENEXT and Digital Garage have liked Droom journey so far and the future potential and decided to lead the round,” he said while declining to comment on the funding raised and the valuation of the company.
On the Indian market, Aggarwal said that about 0.3 percent of the USD 125 billion auto market is online, which constitutes to a large part of the business.
“Currently, our gross annualized revenue run rate is about Rs 1,000 crore, which we expect will touch Rs 3,000-3,500 crore by March 2017,” he added.
Previously, Droom has raised seed funding of USD 1.5 million and USD four million in May and October 2014 respectively, followed by Series A round of Rs. 100 crore in June last year.
Through the funding and the ongoing support of investors, Droom aims to cement its position in India as the ultimate automobile marketplace. To materialize this, the company will also see an infusion of funds towards marketing, business development, customer acquisition (operations) and new category expansions. (ANI)