Bengaluru-based ride-hailing startup, Rapido, has raised $200 million in a Series E funding round, reaching a valuation of $1.1 billion. The funding was led by WestBridge Capital, which invested $120 million. Other key investors include Think Investments, Nexus Venture Partners, and Invus Group. This latest investment has helped Rapido join the unicorn club, making it one of India’s growing list of billion-dollar startups.
Becoming a Unicorn Startup
Rapido’s journey to becoming a unicorn was accelerated by WestBridge Capital’s significant investment. With a valuation now surpassing $1 billion, Rapido joins the ranks of other unicorn startups like Perfios and Bhavish Aggarwal’s Krutrim AI, which is India’s first AI unicorn startup.
Rapido $200 Million Funding
Rapido plans to use the newly acquired funds to expand its four-wheeler ride-hailing services. This service, launched in December 2022, is currently available in three cities: Delhi, Bengaluru, and Hyderabad. The cab segment is largely dominated by Ola and Uber, but Rapido aims to strengthen its position in the market and offer better services for customers.
Aravind Sanka, Rapido’s Co-Founder and CEO, expressed excitement about the new funding. He mentioned that Rapido has seen substantial growth, with 2.5 million daily rides. The new capital will allow the company to continue improving its services and enhancing urban mobility for customers across India.
Rapido’s Growth and Investments
Before this latest funding of $200 million, Rapido raised $180M in a Series D round in April 2022, led by Swiggy, with contributions from TVS Motor Company, WestBridge Capital, Shell Ventures, and Nexus Ventures. In total, Rapido has raised over $500 million in funding. The company has also made acquisitions, including Getbike in 2018 and Vahananlytics in 2019.
Founded in 2015 by Aravind Sanka, Pavan Guntupalli, and Rishikesh SR, Rapido has expanded its reach to over 100 cities across India, including tier 2 and 3 cities, making it a popular choice for low-cost mobility solutions.
Investor Comments on Rapido’s Success
Sumir Chadha, Co-Founder and Managing Partner at WestBridge Capital, praised Rapido’s growth and commitment to customer satisfaction. He highlighted their success in bike taxis, autos, and cabs, noting the startup’s efficient scaling and operational excellence. WestBridge Capital remains committed to supporting Rapido’s ongoing growth and journey.
