Bengaluru-based bike taxi provider Rapido has raised ₹52.67 crores in Series A round of funding from Integrated Capital Growth, Astarc Ventures, Ka Wing Kevin Kwong, Motherson Lease Solutions, India Technology Fund and other 20 High Networth Individuals (HNIs).
Rapido co-founder and CEO Aravind Sanka have confirmed the development to Entrackr. According to company’s filing with the MCA, Integrated Capital Growth invested ₹32.07 crores, US-based Rapido Holding LLC infused ₹11.46 crores, and the rest ₹9.14 crores was poured in by other investors.
Earlier in November 2017, the startup raised ₹2.14 crores from Thomspon Taraz Managers, Skycatcher and Mustard Seed. Prior to that, the firm has also raised funds from angel investors like Rajan Anandan, Pawan Munjal, Anupam Mittal, Harish Bahl and Ankit Nagori.
Founded by Aravind Sanka, Pavan Guntupalli and Rishikesh S R in 2015, the startup currently offers bike taxi in 25 cities including Bengaluru, Hyderabad, Chennai and Delhi NCR. Rapido has also started its services in tier II cities like Patna, Trichy and Vijayawada. The startup claims to facilitate more than 70,000 rides every day with an average ticket size of ₹50.
According to RoC filings with MCA, the startup recorded revenue of ₹79.91 lakhs with a net loss of ₹10.35 crores in FY18. With current metrics, the startup is expected to record revenue of ₹126 crores in the upcoming financial year (calculated with the 70,000 rides and average ticket size metric).
Though the bike taxi segment in India has suffered many casualties, Rapido is surviving the heat. Dozens of startups in the segment failed and died in the country. Industry estimates suggest that India has more than 12 crore two-wheelers and about 4 crores two-wheeler’s owners are either unemployed or underemployed. This indicates a huge opportunity for Rapido as well as for the vehicle owners to generate a part-time income.