Uber, Rapido Held Talks To Combine India Operations, Says Report; Rapido Denies

In May, it was reported that ride-hailing giants Uber and Rapido discussed merging their operations in India, but the negotiations fell apart over the deal's structure. According to an ET report, the talks occurred during Uber CEO Dara Khosrowshahi's visit to India, where he engaged with government officials, business partners, and Uber employees.

Rapido's cofounder and CEO, Aravind Sanka, and other senior executives also participated in these discussions. While Uber proposed to combine the two businesses under Rapido's management, Rapido countered with a counterproposal to acquire Uber's India operations through a cash-and-stock transaction, retaining a minority stake in the Bengaluru-based startup.

However, Uber was unwilling to cede control of its operations, leading to the collapse of the talks without an agreement. Rapido denied these reports, stating they were untrue and that they remain focused on independently building and scaling their mobility business in India. Uber, on the other hand, declined comment on the matter.

This development comes as Uber expands its share of India's two-wheeler mobility market, which Rapido currently dominates. Uber has recently expanded Uber Bike to 100 more cities, taking its overall footprint in India to over 220 cities. Rapido accounts for nearly half of India's ride-hailing volumes and holds an estimated 60%-75% share of the two-wheeler segment and 20%-30% of the four-wheeler cab segment.