Prosus Plans $350M Investment in Rapido
Prosus, the global investment firm, is set to put around $350 million into Rapido, the bike-taxi and ride-hailing platform, through a mix of fresh capital and secondary share purchases.
Reason Behind the Move
The investment follows Swiggy’s decision to exit completely from Rapido, selling its ~12% stake to resolve conflict issues since Rapido is entering food delivery. Prosus aims to capitalize on Rapido’s expansion and growing valuation.
Accel Set to Join
Accel, an early backer of many Indian startups, is likely to participate in the round. Its involvement could increase the total infusion and diversify the investor base.
Valuation & Structure
Rapido’s valuation is estimated to be between $2.5 billion and $2.7 billion, up substantially from last year. A portion of the funding will go toward secondary acquisitions (buying existing shares), while the rest will support growth and operational scaling.
What It Means
With this deal, Prosus is expected to increase its ownership stake in Rapido, becoming one of its major shareholders. The fresh capital will help Rapido speed up expansion, possibly in food delivery and further geographic reach. Investors will be watching how Rapido uses these funds, since scaling fast also brings execution risks.
