Eversource Capital offers to buy BluSmart for Rs 850 crore amid Gensol scandal: Report

Investment firm Eversource Capital has reportedly made an offer to acquire BluSmart, the electric ride-hailing platform currently grappling with a financial and governance crisis tied to its co-founders’ involvement in the Gensol Engineering scandal.

The investment firm has made a non-binding offer to acquire the company for approximately Rs 850-1000 crore, according to media reports.

Jaggi brothers to leave the board?

While Eversource has not made an official announcement regarding the offer, reports indicate that, as part of the potential acquisition, the Jaggi brothers are likely to be asked to resign from the company's board.

The proposed deal—still subject to due diligence and board approvals—would mark a significant turning point for BluSmart, which has been under intense scrutiny following regulatory action against its founders, Anmol Singh Jaggi and Puneet Singh Jaggi.

Both are also promoters of Gensol Engineering Ltd, a listed entity currently under investigation by the Securities and Exchange Board of India (SEBI) for alleged fund diversion and securities fraud.

SEBI's action

Founded in 2018, BluSmart has positioned itself as a pioneer in India's electric mobility space, operating a fleet of around 8,700 vehicles, of which approximately 5,500 were supplied by Gensol. The remainder are leased through other partners.

However, SEBI’s interim findings allege that Gensol’s promoters diverted corporate funds to privately controlled entities, including using one entity, Wellray, to conduct trades in Gensol’s own shares.

SEBI also alleged that funds earmarked for EV procurement were redirected toward personal expenditures, including the purchase of luxury real estate. The crisis has had cascading effects. Following SEBI’s order, the Ministry of Corporate Affairs launched a suo motu probe into Gensol Electric’s regulatory compliance and financial disclosures. The outcome of this inquiry may inform further regulatory action.

Integrating BluSmart's fleet

Reports further indicated that Eversource intends to integrate BluSmart with its existing EV fleet portfolio, which includes Lithium Urban Technologies.

The firm is reportedly prepared to invest an additional $100 million post-merger to scale the combined platform. The potential deal could value BluSmart at a steep discount—nearly 60% lower than its previous valuation of $300 million (around Rs 2,560 crore).

Operations at BluSmart have also been severely impacted. Ride bookings have been suspended, refund timelines for customer wallets have been extended to as long as 90 days, and several top executives have resigned.

The ride-hailing startup has previously raised capital from a roster of high-profile investors, including BP Ventures, Stride Ventures, Panthera Capital, Sumant Sinha, MS Dhoni, Ashneer Grover, and Deepika Padukone.