Uber in Early Talks to Acquire EV Ride-Hailing Firm BluSmart
Ride-hailing company Uber is said to be in preliminary discussions of acquiring BluSmart, a cab service that is based on electric vehicles, as its parent, Gensol Engineering, desires to leave the capital-consuming venture, people told Moneycontrol.
The negotiations follow as Gensol, with a mostly solar EPC business, is battling liquidity issues. But BluSmart has debunked any such negotiation.
"BluSmart vehemently denies any talks of an acquisition by Uber. The report is completely speculative and baseless. Being India's top EV ride-hailing and charging infrastructure platform, BluSmart continues to focus on growing operations and increasing its presence", said a company spokesperson.
Founded by Anmol Jaggi, Punit K Goyal, and Puneet Singh Jaggi in 2019, BluSmart was a premium, no-surge, fully electric replacement for Uber and Ola. BluSmart established a foothold in Delhi-NCR and Bengaluru by focusing on corporate clients and airport rides.
In spite of having raised $109 million in its seed and Series A rounds, including $24 million in 2024 from BP Ventures and other investors, BluSmart has also grappled with profitability. Its fleet ownership and operation model, as opposed to Uber and Ola, has led to heavy capital outlays. Moreover, postponements in government EV incentives and increasing financing expenses have weighed in.
At present, BluSmart has claimed it has gone beyond a $50 million yearly run rate and grew more than 100% y-o-y. It currently manages about 6,000 EVs and established a robust network of more than 4,000 charging stations in 35 cities within Delhi-NCR and Bengaluru.
BluSmart's prospects are dubious at this juncture amid stories of economic strain and discussions with a suitor for purchase.
