Swiggy to exit Rapido in ₹2,400-crore stake sale deal

Swiggy's stake sale pegs Rapido's valuation at about $2.3 billion as against $1.1 billion during its last round of funding in 2024.

Updated on: Sep 23, 2025, 20:58:18 IST

By Tushar Deep Singh

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Swiggy Ltd. has decided to exit Rapido in a stake-sale deal that more than doubles the valuation of the mobility startup.

The listed quick-commerce company will sell 10 equity shares and 1,63,990 compulsorily convertible preference shares of Rapido operator Roppen Transportation Services Pvt. Ltd. to Prosus Group’s MIH Investments One BV for ₹1,948 crore, according to an exchange filing on Tuesday. This is a related-party transaction since Prosus Group and its associates are the largest shareholders in Swiggy with a 23.31% stake.

Separately, Swiggy will sell 35,958 Series D compulsorily convertible shares to Westbridge Capital LLC's Setu AIF Trust—a SEBI-registered alternative investment fund—for ₹431.5 crore. This is not a related-party transaction.

Prosus and Westbridge are also investors in Rapido.

In sum, Swiggy is offloading its entire 12% stake in Rapido for a total of ₹2,399 crore. That deal pegs Rapido’s valuation at about $2.3 billion as against $1.1 billion during its last funding round in 2024, according to ETtech. Moneycontrol pegs that figure at $2.7-3 billion.

Swiggy’s stake sale in Rapido comes at a time when the Sriharsha Majety-led company is bracing for a quick-commerce battle with Eternal Ltd.’s Blinkit, Zepto, and Rapido during the upcoming festive season. That needs cash.

As on 30 June 2025, Swiggy had ₹5,354 crore in cash on its books. Earlier in September, Swiggy raised its platform fee for the third time in three weeks to ₹15/order. With 20 lakh orders a day, that alone would add ₹3 crore daily to Swiggy topline.

ALSO READ | How Swiggy May Get ₹2,500-Crore Delivery From Rapido

In the quarter ended 30 June, Swiggy posted a loss that widened to ₹1,197 crore even as operating revenue increased 54% year-on-year to ₹4,961 crore.

On Tuesday, Swiggy shares fell 0.04% to ₹449.15 apiece on the BSE even as the benchmark Sensex ended the day 0.07% lower at 82,102.10 points.

ABOUT THE AUTHOR
Tushar Deep Singh
Tushar Deep Singh is a business journalist and digital editorial leader with 12 years of experience in financial journalism. Currently Assistant Editor at Hindustan Times, he is building the HT Business vertical and managing the newsletters for both Livemint and HT. When not in the newsroom, he can be found on a motorcycle. Throughout his career, Tushar has been instrumental in scaling digital publishing operations at some of India’s largest financial news websites. His six-year tenure at Mint—the first job—saw him plunge into online media to deliver record-breaking digital engagement for Livemint.com, including 7.2 million page views on 2017 UP Election Results day. He held fort at Livemint during a senior-level leadership transition later that year. That won him the HT Media Star Award (Bronze) in 2017 and a Certificate of Appreciation for Editorial Excellence in 2018. As the head of the digital desk at ETtech, he curated two daily, full-stack newsletters from an editorial as well as product perspective. At NDTV Profit, he transitioned from website editor to principal correspondent, reporting on the auto sector for the TV channel and website, thereby adding yet another layer to his editorial expertise. He is a post-graduate in journalism from Xavier Institute of Communications, Mumbai, and a graduate from St. Xavier's College, Ahmedabad.Read More

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