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Swiggy offloads Entire 12% stake in Rapido to Prosus, Westbridge for Rs 2,399 crore
Swiggy had invested Rs 950 crore in Rapido in 2022, and the exit has delivered nearly 2.5x returns in just three years.
Swiggy reported a net loss of Rs 1,197 crore in Q1 FY26, almost double the Rs 611 crore loss in the year-ago period.
Food delivery platform Swiggy has sold its entire 12% stake in bike taxi and ride-hailing firm Rapido for Rs 2,399 crore to Prosus and WestBridge Capital.
According to Swiggy’s stock exchange filing, Netherlands-based Prosus acquired shares worth Rs 1,968 crore ($223 million), while US-based WestBridge Capital bought the remaining stake for Rs 431 crore ($49 million).
The divestment comes amid concerns of a potential conflict of interest, as Rapido recently forayed into the food delivery segment. The transaction is expected to strengthen Swiggy’s cash reserves, giving it more financial headroom for future strategies.
Swiggy had invested Rs 950 crore in Rapido in 2022, and the exit has delivered nearly 2.5x returns in just three years.
The sale also comes at a time when Swiggy is battling widening losses. The company reported a net loss of Rs 1,197 crore in Q1 FY26, almost double the Rs 611 crore loss in the year-ago period. Total expenses rose 60% year-on-year to Rs 6,244 crore, driven largely by higher advertising and promotional spends.
Ad and promotional expenses surged 132% YoY to Rs 1,036 crore in Q1 FY26, compared to Rs 445 crore a year earlier. Sequentially, spends were up 6% from Rs 978 crore in Q4 FY25.
“We will modulate investments to ensure that we drive the business towards scale-led profitability,” said Sriharsha Majety, MD & Group CEO, Swiggy, during the Q1 earnings call.
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