Uber in early discussions with EV ride-hailing startup BluSmart for a possible acquisition

Ride-hailing giant Uber is in preliminary discussions to acquire all-electric cab service operator BluSmart Mobility.

What’s in it for Uber: Amid rising competition from players like Rapido, BluSmart’s fleet of over 5,000 electric vehicles would significantly bolster Uber’s EV presence in key cities such as Delhi, Mumbai, and Bengaluru.

Gensol’s financial troubles:

• The talks emerge as Gensol Engineering, which leases vehicles to BluSmart, grapples with liquidity challenges that could impact its ride-hailing operations.
• A debt rating downgrade has hit Gensol, and it is actively seeking to raise funds to stabilise its finances.
• Reports suggest that it may sell its EV fleet to Chennai-based Refex Industries.

Tell me more: Anmol Jaggi is BluSmart’s cofounder and Gensol Engineering’s chairman and managing director.

As per Tracxn, the two founders of BluSmart, Jaggi and Punit Goyal own 24% stake in the company, while Jaggi’s brother Puneet Singh Jaggi, who is also a cofounder of Gensol Engineering, owns 5.7% stake in BluSmart.