[11] In September 2019, IL&FS announced that it did not have the resources to continue running the Rapid Metro due to financial issues with the company and was looking for another entity to fund and take over operations.

[15] A 3.2 km (2.0 mi) metro line between Sikanderpur and National Highway 8 was originally proposed in September 2007.

The Haryana Urban Development Authority (HUDA) invited expressions of interest to construct the metro line on built-operate-transfer basis with a 99-year lease in 2008.

[16] However, real estate developer DLF wanted to provide metro connectivity to its Cyber City.

[20] The project was initially conceived as a collaborative venture between Enso Group, DLF and Infrastructure Leasing & Financial Services (IL&FS).

[22] Rapid Metro did not even get the 20 acres of land, which it required to construct the first phase of the project, at any concessional rate from the state.

[4] The contract for the ₹9 billion (US$104.0 million) project was awarded in July 2009, with completion scheduled in 30 months' time.

[29] The company was later awarded a contract worth ₹ 84.3 crore to construct all 5 elevated stations in Phase II.

[30][31] The southward extension is 6.6 km (4.10 mi) long double track and will extend from Sikanderpur to Sector 55 and 56 in Gurgaon.

On the same day, Chief Minister Bhupinder Singh laid the foundation stone for Phase 2 of the project.

[citation needed] Construction work on Phase 2 began in April 2013, and was given an initial deadline of July 2015.

The second phase is a 6.6 km (4.1 mi) long southward extension from Sikanderpur to Sector 55 and 56 of Gurgaon and mostly runs through the affluent Golf Course Road.

[48] The line was built and is operated by Rapid Metro Gurgaon Limited (RMGL), founded as a joint venture between Enso group, real estate developer DLF and IL&FS.

DLF owns many properties near the stations, while IL&FS was the majority stake holder in the JV.

On 11 February 2016, ITNL announced that it had sold a 49% stake in RMGL for ₹509.9 crore (US$59 million) to its parent company, Infrastructure Leasing & Financial Services Ltd (IL&FS), in an effort to reduce debt.

[55] Urban Transport News has described the Rapid Metro as a "failure" due to its high cost, low ridership and poor location.

[59] The Haryana Mass Rapid Transit Corporation (HMRTC) has plans to establish a metro network spanning 188 kilometers in Gurugram.