Advantedge scores near-30X returns with Rapido’s explosive growth
Advantedge, a venture firm specialising in mobility startups, has achieved one of its highest returns yet. A recent partial exit from Rapido, India’s top ride-hailing platform, has pushed the firm’s first fund to nearly 30 times its original investment. The move follows years of backing early-stage companies in the sector.
Advantedge first invested in Rapido during its 2016 seed round, committing around $2.5–3 million. The firm’s stake has since grown dramatically, delivering a 111-fold return on the initial sum and an internal rate of return (IRR) of 67%. The latest $28 million partial exit further boosted performance, leaving Advantedge with remaining shares now valued at $60–65 million.
The success of Rapido has lifted Fund I, launched in 2015 with $10–11 million, to new heights. To date, the fund has returned almost $30 million to investors, achieving an 11.5 times multiple on invested capital (MOIC) and a distribution-to-paid-in (DPI) ratio above 3.0. Beyond Rapido, Advantedge has also exited Wigzo and iimjobs.com, reinforcing its track record in early-stage bets.
In 2020, the firm closed its second fund at $30 million, backed by family offices linked to Motherson and the Hero Group. This capital was fully deployed into startups like Park+ and Exponent Energy. Now, Advantedge is raising a third fund, targeting $60 million. The new vehicle will focus on $0.5–1.5 million investments in early-stage companies while continuing to support top performers from Fund II.
The partial exit from Rapido marks a major milestone for Advantedge, securing near-30X returns on its initial backing. With Fund III in progress, the firm aims to expand its portfolio while maintaining its focus on mobility and high-growth startups. The results from Fund I and II now set a strong foundation for its next phase of investments.
