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Time of India
16-05-2025
- Automotive
- Time of India
BluSmart collapse sparks EV sell-off: Lenders race to recover dues by offloading 1500-2000 vehicles
Indian ride-hailing company BluSmart suspended its operations last month, prompting lenders and leasing firms to begin recovering dues by selling or leasing the electric vehicles they had financed. These lenders include banking, non-banking financial corporations, investment platforms, climate focused financers and other individuals of high net worth who now plan to offload 1500 to 2000 electric vehicles. Several lenders have already taken possession of the vehicles, while others are still in the process of reclaiming assets. The company had shut operations indefinitely after it failed to secure fresh funding, amid serious allegations of financial misconduct involving its founders, as per sources familiar with the matter, quoted by ET. Alternative riding services emerge as takers Delhi-based all-electric taxi service Evera and Uber-backed Everest Fleet have emerged as key contenders to acquire or lease chunks of these EVs. Evera has already added 300 of the repossessed cars to its fleet and is currently in talks to lease an additional 800–1,000 vehicles. Everest Fleet has also initiated discussions but has yet to finalise a deal. 'There is a section of lessors who are in the business of leasing these cars, and they will find takers…but financial institutions like banks that want to recover their money want to sell these vehicles,' a source familiar with the matter told ET, adding 'several small fleet operators are also being approached.' Commenting on the ongoing recovery and redeployment efforts, Nimish Trivedi, co-founder and CEO of Evera, said, 'we are busy getting these assets back on the road, and multiple lenders are having discussions with us,' adding that they have finalised many agreements and are currently looking at strengthening airport operations with this fleet. Siddharth Ladsariya, founder and CEO of Everest Fleet said, 'as we look ahead, we will continue to take a measured approach aligned with operational viability and sector wide progress.' Before Sebi's clampdown, Gensol Engineering had also signed a deal to sell 2,997 EVs to Chennai-based Refex Industries. However, the deal fell through on March 28, due to the conditions requiring the EVs to remain listed on BluSmart and disagreements over lease rentals. Officially, the companies attributed the cancellation to 'evolving commitments'. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
India Today
15-05-2025
- Automotive
- India Today
BluSmart collapse: Banks, lessors rush to offload 2,000 EVs, says report
Following the suspension of ride-hailing startup BluSmart's operations last month, banks, leasing firms, and climate financiers are scrambling to sell or reassign 1,500–2,000 electric vehicles that were once part of its fleet, The Economic Times has BluSmart unable to raise funds and its founders facing regulatory heat, several financiers have begun repossessing the EVs they leased or financed and are now either seeking buyers or looking to lease them to new operators. Wealthy individuals and non-banking finance companies (NBFCs) are also part of the group trying to recover their investments, according to people familiar with the all-electric taxi service Evera has already inducted 300 EVs into its fleet and is in talks to lease another 800 to 1,000 vehicles, as per the ET report. Uber-backed Everest Fleet is also evaluating the purchase of a chunk of the cars but hasn't finalised a deal yet. 'There's a section of lessors who are in the business of leasing and will find takers,' a person briefed on the matter said. 'But financial institutions want to sell outright to recover money. Several small fleet operators are also being approached.'Multiple leasing firms, including Japan's Orix Leasing, Delhi-based Clime Finance, SMAS Auto Leasing, and Shefasteq OPC Pvt Ltd, have moved the Delhi High Court to prevent BluSmart or its associate firm Gensol Engineering from creating third-party rights over these halting operations in April, BluSmart had a fleet of around 8,000 electric cars, of which roughly 5,000 were owned or leased by Gensol Engineering—and then sub-leased to BluSmart. A few hundred EVs were directly owned by the company controversial dealings and the Sebi order against cofounders Anmol Singh Jaggi and Puneet Singh Jaggi for alleged fund diversion and document forgery have further derailed potential recovery. Both stepped down from Gensol Engineering's board following the Sebi Power Finance Corp and the Indian Renewable Energy Development Agency were mulling an auction of the EVs they helped finance. But time is running out—industry players warn that unused EVs can depreciate rapidly.'If the batteries are not charged and the cars not run, performance degrades fast. These could soon turn into liabilities,' an industry insider was quoted as saying in the ET buyers, meanwhile, are waiting for prices to crash, with some reportedly quoting as low as 10% of the original asset Reel
Economic Times
15-05-2025
- Automotive
- Economic Times
Nearly 2,000 BluSmart EVs on the block as lenders, lessors look to recover money
Lenders and leasing companies are looking to sell 1,500-2,000 electric vehicles which were listed on BluSmart, the ride-hailing platform that last month suspended operations indefinitely after failing to raise funds amid allegations of financial irregularities against its founders, people familiar with the matter and non-banking financial companies, investment platforms, climate financing institutions and even wealthy individuals are among those looking to sell these EVs they have financed or leased to BluSmart to recover their money, the people said. Some of them have already claimed possession of the vehicles. Leasing companies are also open to lease the vehicles to other operators. Companies such as Delhi-based all-electric taxi service Evera and Uber-backed Everest Fleet have emerged as potential takers for blocks of these cars. While Evera has already taken 300 EVs in its fleet, it is in discussions to lease another 800-1,000 vehicles. Everest Fleet has also been in talks to acquire some of these cars, but hasn't closed a deal yet.'There is a section of lessors who are in the business of leasing these cars, and they will find takers…but financial institutions like banks that want to recover their money want to sell these vehicles,' a person briefed on the developments said, adding: 'Several small fleet operators are also being approached.' Multiple lessors including Japan's Orix Leasing, Delhi-based Clime Finance, automotive leasing firm SMAS Auto Leasing and Bengaluru-based Shefasteq OPC Pvt Ltd have moved the Delhi High Court to prevent BluSmart or its associated entity, Gensol Engineering, from creating any third-party rights on the vehicles they had supplied. 'We are busy getting these assets back on the road, and multiple lenders are having discussions with us,' said Nimish Trivedi, cofounder and chief executive of EV taxi service Evera. 'We have finalised many agreements and are currently looking at strengthening airport operations with this fleet.' Also Read: Ireda files insolvency plea against Gensol over Rs 510 crore defaultEverest Fleet said the company is closely working with BluSmart's lenders and is evaluating the health and pricing of these vehicles. "As we look ahead, we will continue to take a measured approach aligned with operational viability and sector wide progress," founder and CEO Siddharth Ladsariya told operational, BluSmart had around 8,000 electric cars in its fleet. Close to 5,000 of the vehicles were owned or leased from lessors by Gensol Engineering — these were then leased or sub-leased to BluSmart. The ride-hailing company also owned a few hundred EVs. ET on April 21 reported that Power Finance Corp and Indian Renewable Energy Development Agency were considering a plan to auction the EVs that the company had acquired by taking loans from the two public sector financial institutions. The developments follow action by the Securities and Exchange Board of India, which barred BluSmart cofounders Anmol Singh Jaggi and Puneet Singh Jaggi from accessing the securities markets over allegations of fund siphoning and document forgery in their solar engineering, procurement and construction firm, Gensol and its cofounder Anmol Singh Jaggi did not respond to an email seeking comment. Also Read: Jaggi brothers resign from Gensol Engineering on Sebi order Depreciating assets Industry players in the EV sector say unless the parked assets are brought back into operation, they risk losing all value and becoming unusable.'The situation on the ground remains that, if the batteries are not charged or put to use, and the cars are not driven, their performance will deteriorate and eventually they will become a liability,' a person in the EV space who are interested in buying these EVs are probably waiting for the prices to drop. 'All the traditional players in Delhi are looking at a value which is probably just 10% of the asset cost,' the person added. Meanwhile, following the suspension of its operations in April, BluSmart began transitioning into becoming a fleet operator for rival ride-hailing platform Uber, ET reported first on April 14. Prior to the Sebi order, Gensol Engineering had entered into an agreement with Chennai-based Refex Industries to sell 2,997 EVs to the latter but the deal was called off on March 28. According to sources in the know, the deal was called off primarily because of the condition that the EVs must be listed on BluSmart, in addition to the ride-hailing company being non-committal on paying higher lease rentals than it did to Gensol Engineering. Officially, the companies had said at the time that the deal was terminated because of 'evolving commitments'.
Time of India
15-05-2025
- Automotive
- Time of India
Nearly 2,000 BluSmart EVs on the block as lenders, lessors look to recover money
Lenders and leasing companies are looking to sell 1,500-2,000 electric vehicles which were listed on BluSmart , the ride-hailing platform that last month suspended operations indefinitely after failing to raise funds amid allegations of financial irregularities against its founders, people familiar with the matter said. Banks and non-banking financial companies, investment platforms, climate financing institutions and even wealthy individuals are among those looking to sell these EVs they have financed or leased to BluSmart to recover their money, the people said. Some of them have already claimed possession of the vehicles. Leasing companies are also open to lease the vehicles to other operators. Companies such as Delhi-based all-electric taxi service Evera and Uber-backed Everest Fleet have emerged as potential takers for blocks of these cars. While Evera has already taken 300 EVs in its fleet, it is in discussions to lease another 800-1,000 vehicles. Everest Fleet has also been in talks to acquire some of these cars, but hasn't closed a deal yet. 'There is a section of lessors who are in the business of leasing these cars, and they will find takers…but financial institutions like banks that want to recover their money want to sell these vehicles,' a person briefed on the developments said, adding: 'Several small fleet operators are also being approached.' Multiple lessors including Japan's Orix Leasing , Delhi-based Clime Finance, automotive leasing firm SMAS Auto Leasing and Bengaluru-based Shefasteq OPC Pvt Ltd have moved the Delhi High Court to prevent BluSmart or its associated entity, Gensol Engineering , from creating any third-party rights on the vehicles they had supplied. 'We are busy getting these assets back on the road, and multiple lenders are having discussions with us,' said Nimish Trivedi, cofounder and chief executive of EV taxi service Evera. 'We have finalised many agreements and are currently looking at strengthening airport operations with this fleet.' Everest Fleet said the company is closely working with BluSmart's lenders and is evaluating the health and pricing of these vehicles. "As we look ahead, we will continue to take a measured approach aligned with operational viability and sector wide progress," founder and CEO Siddharth Ladsariya told ET. When operational, BluSmart had around 8,000 electric cars in its fleet. Close to 5,000 of the vehicles were owned or leased from lessors by Gensol Engineering — these were then leased or sub-leased to BluSmart. The ride-hailing company also owned a few hundred EVs. ET on April 21 reported that Power Finance Corp and Indian Renewable Energy Development Agency were considering a plan to auction the EVs that the company had acquired by taking loans from the two public sector financial institutions. The developments follow action by the Securities and Exchange Board of India, which barred BluSmart cofounders Anmol Singh Jaggi and Puneet Singh Jaggi from accessing the securities markets over allegations of fund siphoning and document forgery in their solar engineering, procurement and construction firm, Gensol Engineering. BluSmart and its cofounder Anmol Singh Jaggi did not respond to an email seeking comment. Depreciating assets Industry players in the EV sector say unless the parked assets are brought back into operation, they risk losing all value and becoming unusable. 'The situation on the ground remains that, if the batteries are not charged or put to use, and the cars are not driven, their performance will deteriorate and eventually they will become a liability,' a person in the EV space said. People who are interested in buying these EVs are probably waiting for the prices to drop. 'All the traditional players in Delhi are looking at a value which is probably just 10% of the asset cost,' the person added. Meanwhile, following the suspension of its operations in April, BluSmart began transitioning into becoming a fleet operator for rival ride-hailing platform Uber , ET reported first on April 14. Prior to the Sebi order, Gensol Engineering had entered into an agreement with Chennai-based Refex Industries to sell 2,997 EVs to the latter but the deal was called off on March 28. According to sources in the know, the deal was called off primarily because of the condition that the EVs must be listed on BluSmart, in addition to the ride-hailing company being non-committal on paying higher lease rentals than it did to Gensol Engineering. Officially, the companies had said at the time that the deal was terminated because of 'evolving commitments'.
Time of India
15-05-2025
- Automotive
- Time of India
Nearly 2,000 BluSmart EVs on the block as lenders, lessors look to recover money
Lenders and leasing companies are looking to sell 1,500-2,000 electric vehicles which were listed on BluSmart , the ride-hailing platform that last month suspended operations indefinitely after failing to raise funds amid allegations of financial irregularities against its founders, people familiar with the matter said. Banks and non-banking financial companies, investment platforms, climate financing institutions and even wealthy individuals are among those looking to sell these EVs they have financed or leased to BluSmart to recover their money, the people said. Some of them have already claimed possession of the vehicles. Leasing companies are also open to lease the vehicles to other operators. Companies such as Delhi-based all-electric taxi service Evera and Uber-backed Everest Fleet have emerged as potential takers for blocks of these cars. While Evera has already taken 300 EVs in its fleet , it is in discussions to lease another 800-1,000 vehicles. Everest Fleet has also been in talks to acquire some of these cars, but hasn't closed a deal yet. 'There is a section of lessors who are in the business of leasing these cars, and they will find takers…but financial institutions like banks that want to recover their money want to sell these vehicles,' a person briefed on the developments said, adding: 'Several small fleet operators are also being approached.' Multiple lessors including Japan's Orix Leasing , Delhi-based Clime Finance, automotive leasing firm SMAS Auto Leasing and Bengaluru-based Shefasteq OPC Pvt Ltd have moved the Delhi High Court to prevent BluSmart or its associated entity, Gensol Engineering , from creating any third-party rights on the vehicles they had supplied. Live Events 'We are busy getting these assets back on the road, and multiple lenders are having discussions with us,' said Nimish Trivedi, cofounder and chief executive of EV taxi service Evera. 'We have finalised many agreements and are currently looking at strengthening airport operations with this fleet.' Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories Also Read: Ireda files insolvency plea against Gensol over Rs 510 crore default Everest Fleet said the company is closely working with BluSmart's lenders and is evaluating the health and pricing of these vehicles. "As we look ahead, we will continue to take a measured approach aligned with operational viability and sector wide progress," founder and CEO Siddharth Ladsariya told ET. When operational, BluSmart had around 8,000 electric cars in its fleet. Close to 5,000 of the vehicles were owned or leased from lessors by Gensol Engineering — these were then leased or sub-leased to BluSmart. The ride-hailing company also owned a few hundred EVs. ET on April 21 reported that Power Finance Corp and Indian Renewable Energy Development Agency were considering a plan to auction the EVs that the company had acquired by taking loans from the two public sector financial institutions. The developments follow action by the Securities and Exchange Board of India, which barred BluSmart cofounders Anmol Singh Jaggi and Puneet Singh Jaggi from accessing the securities markets over allegations of fund siphoning and document forgery in their solar engineering, procurement and construction firm, Gensol Engineering. BluSmart and its cofounder Anmol Singh Jaggi did not respond to an email seeking comment. Also Read: Jaggi brothers resign from Gensol Engineering on Sebi order Depreciating assets Industry players in the EV sector say unless the parked assets are brought back into operation, they risk losing all value and becoming unusable. 'The situation on the ground remains that, if the batteries are not charged or put to use, and the cars are not driven, their performance will deteriorate and eventually they will become a liability,' a person in the EV space said. People who are interested in buying these EVs are probably waiting for the prices to drop. 'All the traditional players in Delhi are looking at a value which is probably just 10% of the asset cost,' the person added. Meanwhile, following the suspension of its operations in April, BluSmart began transitioning into becoming a fleet operator for rival ride-hailing platform Uber , ET reported first on April 14. Prior to the Sebi order, Gensol Engineering had entered into an agreement with Chennai-based Refex Industries to sell 2,997 EVs to the latter but the deal was called off on March 28. According to sources in the know, the deal was called off primarily because of the condition that the EVs must be listed on BluSmart, in addition to the ride-hailing company being non-committal on paying higher lease rentals than it did to Gensol Engineering. Officially, the companies had said at the time that the deal was terminated because of 'evolving commitments'.
