New Delhi, May 15 -- Ride-hailing and logistics platform Rapido has secured $240 million (Rs 2,302 crore) in primary capital as part of a new funding round led by existing investor Prosus, valuing the company at $3 billion.
Homegrown private equity firm WestBridge Capital and global venture capital firm Accel, both existing backers, also participated in the round along with other investors. The fresh capital forms part of a broader $730 million primary and secondary financing, the Bengaluru-based startup said in a statement on Friday.
VCCircle reported last month that Prosus and Accel purchased a stake worth about Rs 1,170 crore (around $123.6 million then) from Skycatcher Fund LP, a US-based investment firm and one of Rapido's early investors, in a secondary transaction. Skycatcher Fund, whose first investment in Rapido dates back to January 2017, has fully exited its holding in Roppen Transportation Services Pvt Ltd, Rapido's parent entity.
"We are going deeper into markets where demand exists, but supply remains fragmented, building the density that gives captains reliable, predictable earnings. We will sharpen our focus on strengthening supply, building technologies, and expanding our multi-modal footprint, with far greater speed and intent," said Aravind Sanka, co-founder of Rapido.
The startup plans to use the fresh capital to create new demand markets, while deepening existing ones, and grow its captain network and expand earning opportunities for them. It will also invest in technology and talent to support long-term scale, it said.
Rapido has been increasing its presence in tier-II cities, where it is seeing increasing demand.
The latest round comes eight months after food and grocery delivery company Swiggy Ltd said in September that it would sell its entire 12% stake in Rapido for Rs 2,400 crore (around $270.6 million then).The transaction valued Rapido at about $2.3 billion, which has improved about 30% since.
"Mobility is emerging as a foundational layer of India's digital economy, with the potential to unlock significant economic participation. Our investment reflects a strong conviction in Rapido's ability to scale sustainably while addressing real, large-scale challenges around access and livelihoods," said Ashutosh Sharma, head of India ecosystem at Prosus.
Founded in 2015 as a bike-taxi service, Rapido has since expanded into autorickshaws and cabs. Its app offers services in multiple languages, including Kannada, Telugu, Tamil, Hindi and English.
Last year, Rapido raised Rs 125 crore from venture capital firm Nexus Ventures. In 2025, it also raised Rs 250 crore from Prosus
The company has previously raised capital from TVS Motor Company, Shell Ventures, Nexus Ventures, Yamaha India, CRED founder Kunal Shah, Spotify India CEO Amarjit Singh Batra, and Positive Moves Consulting.
Rapido is also working towards a potential public listing in the current financial year. Earlier this year, co-founders Aravind Sanka, Pavan Guntupalli and Rishikesh SR gave up their promoter status as the company gears up for a planned IPO.
Published by HT Digital Content Services with permission from VC Circle.