Please avoid Droom

Droom Technology’s draft IPO prospectus is a minefield of misrepresentations and missing details, important to assess the health of the business.

Simplicity is not one of Droom’s virtues. To quote from the draft red herring prospectus, or DRHP, filed ahead of its IPO, this is what the company says it does: “We are a technology and data science company that facilitates automobile buying and selling online through a combination of our asset-light automobile e-commerce platform along with a technology-driven vertically integrated proprietary ecosystem of products and services for the automobile industry. Our automobile e-commerce platform, which includes our website and mobile apps, offers users convenience and a curated experience to buy and sell new and used vehicles and encompasses every element …

Author

Ashish K. Mishra

Ashish is the editor-in-chief of The Morning Context. One of the best-known business feature writers in India, he was selected for Germany’s Robert Bosch Stiftung Fellowship in 2012 and received the Mumbai Press Club RedInk certificate of recognition in 2015 for his story “Inside the Network 18 takeover”. Before joining The Morning Context, Ashish co-founded The Ken, where he was managing editor. His previous writing stints include Mint, Forbes India and The Economic Times.

Editor-in-chief

ashish@mailtmc.com

London