Swiggy offloads full 12% stake in Rapido for ₹2,400 crore
Rapido eyes $500–550 million funding round, mixing primary + secondary deals
Prosus to invest $240–250 million, WestBridge to add the rest
Hours after Swiggy’s board cleared the sale of its entire 12% stake in Rapido for ₹2,400 crore, the ride-hailing unicorn is now planning to close a funding round at $500 million to $550 million. As per The Economic Times report, the round will comprise primary and secondary transactions, including Swiggy’s stake sale.
The primary component of the deal would be around $300 million, of this, Prosus is expected to invest approximately $240-250 million and the remaining amount will come from WestBridge. MoneyControl reported that Accel is also planning to participate in this funding round.
This came after Swiggy decided to offload its stake in Rapido. Prosus is buying shares worth ₹1,968 crore in Rapido, while Westbridge will buy the remaining part worth ₹431.49 crore, the company revealed in an exchange filing.
Swiggy has gained nearly 2.5x times from its 2022 investment worth ₹950 crore from Rapido.
The deal is likely to value Rapido at $2.3 billion, about double the valuation it attained via its unicorn funding round in 2024. In September, the ride-hailing giant also raised $200 million in Series E funding round led by WestBridge at a valuation of $1.1 billion.
The investor has recently turned bullish on Rapido as it grew rapidly and surpassed the rivals Ola and Uber. Its move into new sectors such as food delivery with ‘Ownly’ has further stregthened investor confidence, which prompted Prosus to explore fresh deals.
In fact, Uber CEO Dara Khosrowshahi has recently stated that Ola is no longer the biggest competition for Uber in India. Instead, Rapido has taken that place now. “Ola used to be out main competition. Now the tougher competition in India is Rapido,” he said.
Rapido has expanded its market presence across two- and four-wheeler categories. The company now commands about 20% of India’s ride-hailing market, narrowing the gap with Ola’s 30%. However, Uber continues to dominate the cab market with nearly half the share.
Rapido, founded in 2015, started as a bike taxi aggregator but has since diversified into auto-rickshaw and cab services too. Currently, its services are available in more than 100 cities across India.
