BluSmart Denies Uber Buyout Talks Amid EV Market Shakeup

The electric ride-hailing startup BluSmart Mobility, which possesses a robust technology-oriented electric vehicle ecosystem, is reportedly poised for acquisition by Uber. 

The speculation arises alongside the reports stating that Gensol Engineering, which holds a substantial stake in Uber’s BluSmart 8,500 electric cab fleet, is in dire financial trouble. 

Gensol is led by Anmol Singh Jaggi, BluSmart’s cofounder, who serves as the company’s chairman and managing director. If completed, the deal is likely to catapult Uber into the forefront of the EV ride-hailing market in India, making the company more formidable in its battle against competitors like Ola, Rapido, and eee-Taxi while bolstering the Uber Green segment of the company.

KeyHighlights

• Uber is looking into BluSmart Mobility's electric fleet and technology of over 8,500 units.
• Gensol, BluSmart's primary investor, is facing a liquidity issue.
• BluSmart calls reports untrue and says they are purely fictional and baseless.

BluSmart Denies Acquisition Rumors

Supposedly, BluSmart denied the accusation claiming, “We categorically deny any discussions or negotiations regarding an acquisition by Uber. The story is purely speculative and unfounded,”. Currently, they are still looking to expand operations, grow their presence, and promote green transportation.

Uber’s EV Strategy & BluSmart’s Market Position

Uber has been trying to extend its electric mobility reach through Uber Green, where customers can book electric cabs in addition to other services in Delhi NCR, Mumbai, and Bengaluru where BluSmart operates.

Founded in 2019 by Anmol Singh Jaggi and Punit K Goyal, BluSmart recently expanded to Mumbai and Dubai. The company provides Electric Vehicle (EV) ride-hailing along with charging infrastructure. It has a fleet of over 8,500 EVs along with a charging network of 5,800 stations spread across the country which is technology-driven in terms of fleet and energy management.

BluSmart was recently accused of defaulting on bonds worth 30 crore rupees in February. The company later claimed that there was a 10 crore payment that was paid on time while the remaining 20 crore were settled between the 4th and the 22nd.

At the moment, the startup is trying to raise $50 million in the ‘Series B’ round with a target pre-money valuation of $335 million as funds will help boost growth. With the interest from Uber and the expansion of BluSmart's EV presence, this is a tipping point in the Indian ride-hailing technology market, which could change the dynamics of electric mobility in the cities.

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