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Droom raises $20 million from IAM and Digital Garage

Online automobiles marketplace Droom has raised $20 million in a Series C round of funding led by Integrated Asset Management (IAM) and existing investor Digital Garage, reports The Times of India. The report mentions that institutional investors from China, Hong Kong and Taiwan have also participated in this round, but these investors have not been identified. The company will invest part of the funds on its tech platform, and a part on driving adoption of its suite of tools, including Orange Book Value, the pricing tool; Eco, the auto inspection tool; History, vehicle history research; and Credit, to learn about loans and financing. Note that earlier this week, this ET report indicated that Droom had earmarked Rs 225 crore to be spent on marketing of these tools over the next 12 months. Sandeep Aggarwal, founder and CEO of Droom, told the publication that at present these tools represented 50% of the total traffic on the marketplace. Previously, Droom had raised Rs 100 crore in its first round of funding from Lightbox and Beenos, in August 2015, and followed it up by raising Rs 200 crore in a Series B round of funding led by Beenext and Digital Garage, in June 2016. Competition One of Droom's biggest competitors is CarDekho, which had raised $50 million from Hillhouse Capital, Tybourne Capital, Sequoia and Ratan Tata, and an undisclosed amount of funding from HDFC Bank in the first half of 2015, plus an undisclosed amount of funding from Google Capital and Hillhouse Capital in March 2016. Since…

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