Accel and Prosus Strengthen Investment in Rapido Amidst Strategic Shifts
In a significant development within India’s ride-hailing industry, venture capital firm Accel has invested in Rapido, a prominent competitor to Uber, while Prosus has increased its stake in the company. This move follows the complete divestment of shares by Indian two-wheeler manufacturer TVS Motor.
On November 6, 2025, TVS Motor disclosed in a stock exchange filing that it had sold its entire stake in Rapido for ₹2.88 billion (approximately $32 million) to Accel and Prosus’ investment arm, MIH Investments. This transaction yielded TVS Motor a return exceeding 152% over a three-year period.
Established in 2015, Rapido has emerged as a formidable player in India’s ride-hailing sector, contending with giants like Uber, Ola, and inDrive. The company initially focused on bike taxis but has since diversified its services to include auto-rickshaw bookings, car rides, and courier deliveries. More recently, Rapido has been testing a food delivery service in select cities, entering a market currently dominated by Swiggy and Zomato.
TVS Motor’s initial investment in Rapido occurred in April 2022 during the startup’s $180 million Series D funding round. This round also saw participation from investors such as WestBridge Capital, Shell Ventures, and Nexus Venture Partners. At that time, TVS Motor acquired its stake for ₹1.14 billion.
In the latest transaction, Accel purchased 11,997 preference shares in Rapido, while Prosus acquired 11,988 preference shares and 10 equity shares. Both investors contributed approximately ₹1.44 billion (around $16 million) each.
Accel’s investment in Rapido signifies its re-entry into India’s ride-hailing market, having previously been an early investor in Ola. This move aligns with Rapido’s ongoing discussions with Accel and Prosus regarding a new primary funding round anticipated to close next year, though the exact funding amount remains undetermined.
Prosus, already an investor in Rapido, expanded its stake through another secondary share purchase in September, following Swiggy’s complete divestment. This earlier transaction doubled Rapido’s valuation to $2.3 billion.
Both Accel and Prosus are also early backers of Swiggy, which exited Rapido citing a potential conflict of interest as Rapido ventured into the food delivery sector.
