Swiggy Targets Rs 2,500 Crore from Rapido Stake Sale, Eyes 2.5X Return

Swiggy, the Bengaluru-based food delivery and quick commerce giant, is planning to fully exit its investment in Rapido, a leading ride-hailing platform, aiming to raise up to Rs 2,500 crore ($300 million), according to sources cited by Moneycontrol. The deal, which would mark a 2.5X return on Swiggy’s investment made just over three years ago, comes as Rapido’s valuation has surged to between Rs 23,000-26,000 crore ($2.7-3 billion), a significant jump from its $1.1 billion valuation last year. Rapido’s valuation growth is driven by a robust 120% increase in scale over the past year, positioning it as a strong competitor to Uber and Ola in India’s ride-hailing market. Swiggy’s exit is seen as a strategic move to bolster its cash reserves amid mounting financial pressures. Swiggy’s Financial Challenges Swiggy has faced escalating losses, reporting a net loss of Rs 2,278 crore ($268 million) over the past two quarters. Over the last nine quarters, cumulative losses have exceeded Rs 6,600 crore ($785 million), significantly depleting its cash reserves. As of Q1 FY26 (June quarter), Swiggy’s cash and equivalents stood at Rs 5,354 crore. The proceeds from the Rapido stake sale would provide a critical financial cushion as the company navigates intense competition in the quick commerce and food delivery sectors.