TVS Motor Sells Entire Stake in Rapido to Accel and Prosus for INR 288 Cr This transaction comes shortly after Swiggy, another major investor, exited Rapido.
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TVS Motor Company has announced that it will sell its stake in bike-taxi aggregator Rapido for INR 287.93 crore.
The company has signed agreements with Accel India VIII (Mauritius) Limited and MIH Investments One BV, part of Prosus, for the monetisation of its investment in Roppen Transportation Services Private Limited, the parent company of Rapido.
According to a filing with the stock exchanges, TVS Motor will divest its shareholding in Rapido by selling 11,997 Series D compulsory convertible preference shares (CCPS) to Accel India VIII (Mauritius) for INR 143.96 crore. It will also sell 10 equity shares and 11,988 Series D CCPS to MIH Investments One BV for INR 143.97 crore.
TVS Motor had entered into a strategic partnership with Rapido in 2022 to collaborate on areas of mutual interest and support growth in the commercial mobility ecosystem. The current move marks a full exit of TVS Motor from the company.
This transaction comes shortly after Swiggy, another major investor, exited Rapido. The food delivery firm sold its 12% stake for about INR 2,399 crore, reportedly earning a 2.5 times return on its investment made less than four years ago.
Rapido continues to strengthen its position in India's mobility sector. Uber CEO Dara Khosrowshahi recently noted that Rapido has become a stronger rival to Uber in India than Ola, reflecting its expanding presence in two- and three-wheeler services.
Rapido has also ventured into food delivery, launching a pilot of its standalone app, Ownly, in parts of Bengaluru. A broader rollout is expected by the end of November.
