Swiggy sells ₹2,400-crore Rapido stake to Prosus, WestBridge, exits with 2.5x gains

Swiggy has fully divested its ₹2,400 crore stake in Rapido, selling shares to Dutch investment firm Prosus NV and WestBridge Capital.

Of the total transaction, Prosus’s subsidiary MIH Investments One B.V. acquired shares worth ₹1,968 crore, while WestBridge Capital picked up the remaining ₹431.5 crore portion, showed exchange filings on Tuesday evening.

The deal was executed on an arm’s length basis and awaits customary approvals, including from the Competition Commission of India (CCI) and Swiggy’s shareholders.

Mint was the first to report on this development, which marks Swiggy’s complete exit from the mobility startup after more than three years as an investor.

Swiggy had first invested $180 million (about ₹1,350 crore) in Rapido in April 2022, when the startup was valued at $1.1 billion. The exit now values Rapido at $2.5–2.7 billion, delivering a near 2.5x return for Swiggy in just over three years.

Rapido’s rise has been swift. From a two-wheeler ride-hailing service, it has expanded into autos, cars, and most recently food delivery under its “Ownly” brand. By charging restaurants nearly half the commissions imposed by incumbents Swiggy and Zomato, Rapido is attempting to wedge open India’s tightly controlled food-tech market. The move capitalizes on data and operational insights it gained through its earlier partnership with Swiggy, where Rapido’s fleet was often deployed for last-mile delivery.

Still, India’s food-delivery market remains firmly a two-player race, with Zomato holding 54% and Swiggy 46%, according to Bernstein. In a June note, it said Rapido’s entry was unlikely to break this duopoly.

According to HSBC, new players may win price-sensitive users at the lower end but are unlikely to dent the dominance of Zomato and Swiggy.

Rapido's financial performance has been improving. Revenue jumped to ₹648 crore in FY24 from ₹443 crore in FY23, while losses narrowed to ₹371 crore from ₹675 crore. Since launch, Rapido has raised over $500 million across six rounds, with backers including Prosus, WestBridge, Nexus Venture Partners, TVS Motor Co. Ltd, Yamaha Motor Co. Ltd and Shell International BV.

For Swiggy, the divestment provides vital liquidity. The company posted a net loss of ₹1,197 crore in the June 2025 quarter, double the previous year, even as revenues surged 54% year-on-year to ₹4,961 crore.