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News India Live, Digital Desk: If you use bike taxi and cab service, then this news can be quite interesting for you. Recently, the veteran global investor Proseus (PROSUS) has raised its expectations on bike taxi and auto-rickshaw aggregator Rapido (Rapido). It is reported that the process, including South African technology, can also invest up to ₹ 3000 crore in Rapido. The interesting thing is that at this time, Swiggy, a company that runs food delivery and instamart, has decided to be out by selling its entire stake from Rapido.
A big bet for rapido
According to sources, Prose has so far invested Rs 2000 crore in Rapido and it is being told that this investment can reach Rs 3000 crore later. After Swiggi is fully exiting, Rapido can prove to be a big turning point for the company directly with a large investor like processus. This will not only help Rapido to strengthen its financial position, but it will also be able to move its expansion plans faster. Let us tell you that some time ago there was talk of bringing Rapido’s IPO, but then it was stopped due to market conditions. This new investment will definitely make his path easier for the IPO in the future.
Why was it out?
At the same time, there can be many reasons for Swiggy being out of Rapido. Swiggy had earlier bought a stake in Rapido instead of about Rs 500 crore. Now that Swiggy himself is focusing on his major business such as food delivery and Instamart and his IPO is also discussed, he probably wants to monitize his investment in Rapido and put Capital in another important business. According to an estimate, Swiggi has come out by selling its entire 7% stake on an evaluation of Rs 200 crore.
Market collision continues
Rapido has gained constant growth and has given a tough competition to big companies like Ola and Uber in the Indian market. Rapido’s access to Tier-2 and Tier-3 cities, especially, is quite strong. It will be interesting to see how Rapido increases its market share after this big investment of Prose and what new strategies do the company adopt. Given the increasing number of passengers in the bike taxi segment, this is a sector that has immense possibilities. This investment will determine a new direction for the future of Rapido and can bring better and affordable travel options for customers.
