Sequoia on Bad Governance, Rapido Funding, Unicorn Lull, and More
Rapido, a bike taxi platform, has raised $180 million (Rs 1,370 crore) in a Series D funding, led by Swiggy. TVS Motor Co. also participated in the round.
The startup, among the soonicorns, has raised $130 million (about Rs 1,000 crore) over the past seven years. The latest funding raised its valuation to $830 million (Rs 6,330 crore).
“With TVS and Swiggy, our relationship goes beyond capital,” Aravind Sanka, co-founder of the Bengaluru-based company, told BloombergQuint. “The Swiggy partnership will also provide additional revenue for Swiggy delivery executives and Rapido captains. With TVS, we aim to bring together our strengths in mobility and a seamless technology platform where our partnership will focus on both two- and three-wheeled vehicles in the EV segments and expand our fleet of e-bikes.
The capital, Sanka said, will be used in the three main categories including bike taxi, car and delivery.
The delivery or third-party logistics business, which Rapido got into three years ago, is “more a question of use than anything else at this stage”. “Since all of our third-party logistics drivers have signed up for bike taxis, it helps our bike taxi captains earn more income on a daily basis.”
Separately, insurtech startup Turtlemint has raised $120 million (Rs 916 crore) in a Series E funding.
The company has reached a “slightly below unicorn valuation,” co-founder Dhirendra Mahyavanshi told Bloomberg.
According to India Insurtech Association and Boston Consulting Group, insurtech funding in the country has increased from around $290 million (Rs 2,210 crore) in 2020 to $900 million (Rs 6,870 crore) in 2021.
“Last year’s funding levels indicate continued investor interest and we will see more insurtechs creating real business value. Enablers such as IndiaStack, Ayushman Bharat, Insurance Information Bureau and the RBI’s regulatory sandbox provided a solid platform for innovation across the insurance value chain,” he said in a report.
India has produced three unicorns in this segment: Acko, Digit Insurance and PolicyBazaar.