Droom raises Series B funding from Beenext, Digital Garage and others
Online marketplace for used automobiles and auto services Droom has closed a Rs 200 crore funding round, a transaction that comes at a time when mid-to-late stage funding in India continues to be under severe stress. Lightbox, Beenos and other existing investors also participated in this round.
Teruhide Sato, founder and former CEO of Japanese e-commerce company and investor firm Beenos Inc (formerly Netprice), had set up venture capital fund Beenext in September 2015 targeting investments in early-stage companies in India, South East Asia, Japan and the US.
The company will also use the proceeds of the Series B funding to expand its domestic operations and strengthen its technology platform. “The amount raised for the new round of funding is significantly higher than Series A that we raised last year,” Droom founder and CEO Sandeep Aggarwal told.
Aggarwal founded Droom in April 2014. He had earlier founded online marketplace ShopClues, which too was backed by Beenos. Aggarwal has also backed startups such as Shopsity, which connects offline retailers to customers, besides mobile wholesale marketplace Wydr.
In the online used automobiles selling space, Droom competes with players such as Truebil, Zoomo, CarDekho (which acquired Gaadi.com), Carwale and CarTrade in addition to horizontal people-to-people platforms such as OLX and Quikr.
In January this year, online jewellery retailer Melorra had raised $5 million (around Rs 33.4 crore) from venture capital firm Lightbox Ventures.
Beenext had recently funded WorkIndia, a job portal for blue-collar workers. Beenext and Digital Garage, along with Beenos, had recently participated in the Series B funding round of Bangalore-based NoBroker Technologies Solutions Pvt Ltd, which runs a peer-to-peer property listings business for renting homes under NoBroker.com.