InDrive, the ride-hailing app, has secured a $150 million investment from General Catalyst to enhance its product offerings and expand into new markets.
This investment follows a similar deal with General Catalyst just over a year ago, bringing the total debt financing to $300 million for InDrive.
The company plans to utilize the new funds to expand into new markets and develop new products. It recently introduced a financial services product to offer financing options for drivers on its platform.
Dmitry Sedov, CFO of InDrive, stated, “This financing will support our marketing efforts across our current footprint and enable us to launch in several new countries and cities within our existing markets.”
Last year, InDrive made a tentative entry into the US market, starting with a launch in Florida, where it is gradually building a user base for its unique ride-hailing fee negotiation model. Unlike traditional ride-hailing and taxi apps with fixed fees, InDrive allows passengers to negotiate their trip fees with drivers through the app.
Originally founded in Russia, InDrive is now headquartered in the US, with a primary focus on developing markets.
Sedov emphasized that securing financing from General Catalyst will support the company’s growth and innovation while maintaining financial strength and flexibility, minimizing operational risks.
In 2023, InDrive reported a 54% increase in net revenue, although specific revenue figures were not disclosed.
Expanding its services, InDrive recently introduced financial products, including loans and credit cards, for drivers in Mexico. Sedov mentioned that the company plans to scale these services in Mexico first, with potential expansion into other Latin American markets.
Earlier this year, InDrive’s president highlighted that offering financial products is crucial for its growth in developing markets, where drivers often face challenges accessing financing from traditional banks.
InDrive also launched a $100 million investment arm to support ventures in emerging markets, further demonstrating its commitment to expansion and innovation.
