Rapido has raised $240 million in fresh funding in a round led by Prosus, with participation from existing investors WestBridge Capital and Accel. The funding values the Bengaluru-based company at $3 billion on a post-money basis.
The latest investment is part of a larger $730 million financing exercise that includes both primary and secondary transactions. The company said the fresh capital will be used to expand into newer markets, strengthen its existing operations, improve technology infrastructure, and increase earning opportunities for its driver partner network.
The funding round comes at a time when competition in India’s mobility sector is intensifying. Rapido has emerged as one of the strongest challengers to global ride hailing giant Uber and domestic rival Ola, especially in the bike taxi and low cost commute segments. Industry observers view the latest capital infusion as a strategic move to deepen Rapido’s market presence and improve supply density across cities.
According to the company, the investment will also help strengthen first-mile and last-mile connectivity while improving platform efficiency. Rapido said it plans to invest heavily in technology, operational scale and talent as it looks to accelerate growth across high demand markets.
Speaking about the investment, Rapido co-founder Aravind Sanka said the company aims to deepen its presence in markets where mobility demand remains underserved and fragmented. He added that the company will continue focusing on strengthening its driver network and expanding its multi modal mobility footprint.
Prosus, which has backed several Indian technology startups over the years, said its increased investment reflects confidence in Rapido’s long term growth potential and the broader expansion of India’s digital mobility ecosystem. The investor also highlighted the role of mobility platforms in creating flexible earning opportunities and improving transportation access across emerging markets.
The new funding also marks a sharp jump in Rapido’s valuation from previous rounds. Reports noted that the company was valued at around $2.3 billion in an earlier secondary transaction linked to stake sales by existing investors.
Founded in 2015, Rapido started as a bike taxi platform and has since expanded into auto rickshaw services, cab aggregation, parcel deliveries and other mobility offerings. The company currently operates in more than 400 cities across India and has increasingly focused on Tier 2 and Tier 3 markets where affordable transportation demand continues to rise.
Rapido has been steadily expanding beyond traditional ride hailing services. The company recently increased its focus on adjacent businesses including food delivery and logistics, positioning itself as a broader urban mobility and services platform. Analysts believe the latest investment could help the company accelerate diversification efforts while competing more aggressively in India’s rapidly evolving mobility market.
