Vroom, Inc. (NASDAQ:VRM) was founded in 2012 and is headquartered in New York, New York, USA. It has 800 full-time employees. It is an innovative end-to-end e-commerce platform that provides better ways to buy and sell Change the used car industry.
Vroom is a used car retailer and e-commerce company based in New York City that enables consumers to buy, sell and finance (loan) the purchase of cars online.
Vroom is committed to creating an extraordinary second-hand car buying experience for customers. The company is promoting lasting changes in the industry across the country, adopting a vertically integrated, asset-light approach to reshape all stages of the vehicle purchase and sales process, from discovery to delivery and all processes in between.
Vroom was founded in August 2013 by Marshall Chesrown, Kevin Westfall and Scott Chesrown. To date, Vroom has raised more than US$720 million in venture capital and private equity. It also has a refurbishment plant in Stafford, Texas, and was voted by Forbes as the hottest e-commerce start-up of 2015. The CEO of Vroom is Paul Hennessy, who was previously the CEO of Priceline.com.
In December 2015, the company acquired Texas Direct Auto, a Houston company founded in 2002 and now owned by Vroom but operated as an independent brand. The combined company is profitable, with revenue of US$900 million in 2015.
In February 2018, Vroom closed its operations in Whitestown, Indiana, and laid off approximately 25% of its employees in New York City and Stafford, Texas. In December 2018, Vroom completed a $146 million Series G financing led by AutoNation and began to expand its business again.
Vroom is not a peer-to-peer market, but an e-commerce service that can handle the entire transaction without dispute. The company provides financing from more than 12 banks and provides used cars to customers across the country. All vehicles sold by Vroom have been refurbished, and the company uses proprietary RFID tracking and prioritization software to automate the refurbishment process.
Vroom provides a 7-day money-back guarantee and a 90-day insurance contract warranty. Vroom will also purchase cars from customers. After submitting photos and information about the car online, customers can get cash coupons.
Vroom (VRM) financing:
- On July 7, 2013, Vroom received US$7.3 million in funding in Series A financing.
- On November 1, 2014, in Series B financing, Vroom received US$11 million from institutional investors General Catalyst, T. Rowe Price , L Catterton, and individual investors Robert Mylod and Jeffery Boyd.
- On July 1, 2015, in Series C financing, Vroom received US$54 million in investment.
- On December 16, 2015, in Series D financing, Vroom received an exclusive investment of US$95 million from Allen & Company LLC.
- On September 20, 2016, in the E round of financing, Vroom received a lead investment of T. Rowe Price, and 5 institutions including General Catalyst, Allen & Company LLC, L Catterton, and Altimeter Capital followed up with US$50 million in funding.
- On December 1, 2017, in the F round of financing, Vroom received US$103 million from three institutions, General Catalyst, T. Rowe Price, and L Catterton.
- On December 11, 2018, in the G round of financing, Vroom received the lead investment from AutoNation , and four institutions including General Catalyst, T. Rowe Price, L Catterton, and Fraser McCombs Capital participated in an investment of US$146 million.
- On December 6, 2019, in the H round of financing, Vroom received a lead investment from Durable Capital Partners, and T. Rowe Price and L Catterton participated in the investment of 254 million US dollars.
Vroom (VRM) investment:
Vroom, Inc. (NASDAQ:VRM) listed on NASDAQ on 6/9/2020 IPO. The planned issuance price is $18.00-$20.00, the actual issuance price is 22 US dollars, 18.8 million shares are issued, and 413.6 million US dollars are raised. Goldman Sachs/ Underwriting by BofA Securities/ Allen & Company/ Wells Fargo Securities.