Rapido, India’s prominent ride-hailing platform has seen its valuation soar to $2.3 billion following the sale of its entire 12% stake by Swiggy for around ₹2,400 crore (approximately $270 million). This valuation is more than double the $1.1 billion value reported in September 2024, underscoring strong investor confidence amidst ride hailing giant’s evolving business strategy and market positioning.
Funding History and Investor Confidence
Rapido’s impressive growth has been propelled by multiple funding rounds:
- Early investments came from WestBridge Capital, Tiger Global, and Swiggy, with a significant $180 million round led by Swiggy in April 2022.
- Since then, it raised over $200 million in follow-up rounds, expanding its operations and solidifying its market share.
- The recent secondary share sale to Prosus (₹1,968 crore) and WestBridge Capital (₹431.5 crore) highlights renewed investor enthusiasm and confidence in it’s long-term prospects.
Rapido’s Strategic Foray into Food Delivery with Ownly
In August 2025, They extended its service offerings by launching Ownly—its food delivery pilot operating initially in Bengaluru. Targeting markets traditionally dominated by Swiggy and Zomato, Ownly focuses on budget-friendly meals under ₹150, flat delivery fees, and transparent pricing. Partnering with popular brands like Wow!, Eatfit, and Krispy Kreme, Ownly leverages Rapido’s extensive two-wheeler network to compete effectively in hyperlocal food delivery.
Swiggy’s Portfolio Optimization
Swiggy’s exit from Rapido is a strategic realignment to maintain focus on its core food delivery operations and quick commerce divisions. The board recently approved a slump sale to transfer Instamart, the quick commerce business, into a wholly-owned subsidiary named Swiggy Instamart Private Limited. This move aims to provide Instamart with sharper strategic focus and operational independence for its rapid expansion. Instamart revenue touched ₹2,130 crore in FY25, accounting for roughly 24% of Swiggy’s standalone revenues.
Read this: Swiggy Launches ‘toing’, a Budget Food Delivery App Offering Meals At Just Rs 100
Financial Snapshot and Market Positioning
Swiggy reported a 22% revenue growth in FY25, totaling ₹7,800 crore, fueled by robust food delivery and quick commerce growth. However, losses widened to ₹1,081 crore in Q4 due to increased investments. Rapido’s valuation surge and entry into new verticals position both companies at the forefront of an intensely competitive and dynamically evolving urban mobility and food delivery landscape in India, each carving unique growth trajectories.
Rapido’s valuation leap and multi-sector pivot signal a new era of competition, while Swiggy’s focused restructuring showcases adaptability in a fast-changing market. Together, they reflect the vibrant, evolving face of India’s tech-driven urban commerce.
For furthur information of this deal, check this out: Swiggy Sells Entire 12% Stake in Rapido, Secures 2.3X Returns on $120M Investment
