Venture capital firm Sequoia Capital India has reportedly exited from the Bengaluru-based car and bike pooling startup Quick Ride.
According to Entrackr, which first reported the development, Sequoia exited late last year with a 40-50% cut on the amount it had invested in the company. The VC firm had participated in Quick Ride’s Series A round in 2018, which was worth an undisclosed amount, and the Series B round worth $14.3 Mn, led by Prosus and Naspers in 2019.
According to the Entrackr report, Sequoia’s exit from the company may have been due to falling revenues in the ride-hailing industry amid the pandemic, when most businesses have allowed work from home for their employees.
Sequoia also has an investment in Indian ride-hailing major Ola, which also witnessed a revenue crunch amid the pandemic and was forced to lay off thousands of employees last year.
Similarly, global cab aggregator Uber was also forced to lay off several of its India employees last year and even shut its Mumbai office
Founded in 2014 by KNM Rao, Quick Ride offers a ride-sharing application that connects passengers to riders. It connects the commuters travelling in the same direction in real-time. The platform also enables its users to invite people to join their ride or accept invitations from other interested riders.
The company also offers an enterprise solution for shared mobility and counts IT companies such as Wipro, TCS, Infosys, IBM and Cognizant, among others as its clients.
Quick Ride’s charges start at INR 3/km. The company charges another 10% of the ride fare as a platform fee for the cost of technology, services, infrastructure and support. Its services are available in Bengaluru, Hyderabad, Chennai, Pune, Kochi, Delhi-NCR, Mumbai, and Kolkata.