Swiggy to sell its entire Rapido stake for Rs 2,400 crore to Prosus and Westbridge Capital

Food and grocery delivery major Swiggy will sell its entire 12 percent stake in Rapido to Prosus and Westbridge Capital, both existing investors in the ride-hailing startup, for a total of Rs 2,399 crore, the company informed the exchanges on September 23.

While Prosus bought shares Rs 1,968 crore ($223 million) in Rapido, Westbridge bought the remaining shares worth Rs 431.496 crore ($49 million), the exchange said. Swiggy had earlier said it will exit its position in Rapido over a potential confict of interest as Rapido enters food delivery.  

Moneycontrol was first to report that Swiggy is looking to sell its stake in Rapido and could net as much as Rs 2,500 crore through the deal on August 6. Moneycontrol was also first to report on August 28 that Prosus is likely to infuse $200 million into Rapido in a round that will be a mix of primary capital and secondary share sales.

Sources said this is a fully a secondary transaction and Rapido will raise a primary round too at a valuation of $2.7-3 billion, up sharply from $1.1 billion earlier.