India's Competition Commission allows Netherlands-based Prosus to acquire more stake in Rapido

The Competition Commission of India (CCI) has approved Dutch investment firm Prosus’ proposal to acquire an additional equity stake in ride-hailing startup Rapido, clearing a key regulatory hurdle for a series of secondary share transactions undertaken over the past few months.

The approval covers the acquisition of certain additional shareholding in Roppen Transportation Services Private Limited, which operates the Rapido platform, by MIH Investments One BV, an indirect wholly owned subsidiary of Prosus NV. MIH Investments One BV does not undertake operating activities of its own and functions primarily as a holding entity for Prosus’ investments in India, the regulator noted.

The CCI clearance comes after a period of significant secondary transactions involving Rapido’s existing investors. In September 2025, Swiggy announced that it would offload its entire stake of around 12 per cent in Rapido to Prosus and WestBridge in a deal valued at about Rs 2,400 crore, or roughly USD 270 million. Of this, Prosus acquired shares worth approximately Rs 1,968 crore. Swiggy cited a potential conflict of interest arising from Rapido’s intent to enter the food delivery business as a reason for the divestment.

Separately, in November 2025, TVS Motor Company said it had signed share purchase agreements with Prosus and Accel to sell its stake in Rapido for Rs 287.93 crore. As part of this transaction, Prosus was set to acquire shares worth about Rs 145 crore.

The investment firm has been positioning several Indian portfolio companies for public listings. In recent years, Prosus has reported gains from IPOs of Urban Company, Meesho and Bluestone, while food delivery major Swiggy listed in 2024. Other IPO-ready companies in its India portfolio include PayU India, CaptainFresh, Mintifi and Eruditus.

Rapido itself has indicated that it is preparing for the public markets. In November 2025, the company said it expects to begin work on its listing process by the end of 2026. Co-founder Aravind Sanka told PTI that Rapido aims to sustain a 100 per cent year-on-year growth rate over the next few years and enter the IPO as a significantly larger player than its nearest competitors.