Investment firm Eversource Capital has reportedly made a non-binding offer to acquire BluSmart, the electric ride-hailing startup currently embroiled in a financial and governance crisis linked to its co-founders' involvement in the Gensol Engineering scandal.
According to media reports, the deal is valued between Rs 850 crore and Rs 1,000 crore, marking a significant turning point for BluSmart, once hailed as a pioneer in India&rsquo;s electric mobility sector. The proposed acquisition is subject to due diligence and board approvals.
Jaggi Brothers Likely to Exit
As part of the potential transaction, the company's co-founders, Anmol Singh Jaggi and Puneet Singh Jaggi, are expected to step down from the board. Both are also promoters of Gensol Engineering Ltd, a publicly listed company currently under investigation by the Securities and Exchange Board of India (SEBI).
SEBI has alleged that the promoters diverted corporate funds to privately controlled entities, including trading in Gensol&rsquo;s shares through an entity named Wellray. Funds designated for electric vehicle procurement were also allegedly redirected toward luxury real estate purchases and personal expenses.
Following SEBI&rsquo;s interim order, the Ministry of Corporate Affairs initiated a suo motu probe into Gensol Electric&rsquo;s compliance and financial disclosures.
BluSmart&rsquo;s Operational Setback
Founded in 2018, BluSmart operates a fleet of approximately 8,700 electric vehicles, around 5,500 of which were supplied by Gensol. The remainder are leased through external partners. However, the ongoing regulatory turmoil has deeply impacted operations.
Ride bookings on the platform have been suspended, refund timelines for customer wallets have been extended to 90 days, and multiple senior executives have exited the company in recent weeks.
Eversource&rsquo;s Strategic Move
If successful, the acquisition would allow Eversource to integrate BluSmart into its broader EV portfolio, which includes Lithium Urban Technologies. Post-merger, Eversource is reportedly planning to inject an additional $100 million to scale the unified platform.
The proposed valuation represents a significant markdown&mdash;nearly 60% lower than BluSmart&rsquo;s earlier valuation of $300 million (approximately Rs 2,560 crore).
High-Profile Backers
BluSmart had previously secured funding from several marquee investors including BP Ventures, Stride Ventures, Panthera Capital, Sumant Sinha, MS Dhoni, Ashneer Grover, and actor Deepika Padukone.
The unfolding situation remains fluid as stakeholders await further regulatory updates and board decisions concerning the acquisition proposal.
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Source : Indian Startup News

Investment firm Eversource Capital has reportedly made a non-binding offer to acquire BluSmart, the electric ride-hailing startup currently embroiled in a financial and governance crisis linked to its co-founders' involvement in the Gensol Engineering scandal.

Eversource Capital Eyes Acquisition of Crisis-Hit BluSmart in Rs 850–1000 Cr Deal