Automobile marketplace startup Droom is going international. The homegrown startup will expand in nine Southeast Asian countries, starting with Indonesia. The entry into Indonesia will happen in the fourth quarter of calendar year 2018, which will be followed by Thailand and Malaysia. The company will create a separate unit for this called Droom International.
"We are targeting countries which have 25 million or more internet users. We will be spending $10 million this year on international expansion and three times the amount next year," informed Sandeep Aggarwal, founder and CEO of Droom.
Aggarwal further said that the company has also begun process for an IPO next year. It has started working with investment bankers for a NASDAQ listing in 2019. "Once we reach $3-3.5 billion in gross revenues, we will list ourselves and next year is when it looks possible," said Aggarwal.
Droom also announced a $30 million Series-D funding round jointly led by Toyota Tsusho Corporation, a unit of Japan’s automobile major Toyota Group, and existing investor Digital Garage. Toyota will facilitate the company's expansion in multiple geographies.
"We and Droom are sharing the same vision, which is bringing trust and transparency to the transactions of automobiles. We believe that this partnership contributes to establishment of highly transparent transaction of automotives, wholesome development of auto market of developing countries, by combining Droom’s technologically advanced platform and our various automotive business experience of all over the world,” said Toyota Tsusho Corporation in a statement.
The company will use funds to invest in technology, AI specifically, and international expansion. The platform offers wide range of categories from bicycle to plane and all automobile services such as warranty, RSA, insurance and auto loan. It claims to have 65 per cent market share in online automobile transactions.