BluSmart, the electric vehicle (EV) ride-hailing platform raised $25 million
BluSmart, the electric vehicle (EV) ride-hailing platform, announced on Monday that it successfully raised $25 million in a combination of debt and equity from ResponsAbility, a climate finance firm based in Zurich. The funding comprises $20 million in debt and $5 million in equity. BluSmart intends to utilize the funds to expand its EV charging infrastructure.
Apart from its ride-hailing services, where it currently operates 6,000 EV cabs, BluSmart also owns and operates 4,000 EV chargers across 35 locations in the National Capital Region and Bengaluru. The company has recently opened up its charging facilities for external users as well.
This latest funding follows a previous round in December, where BluSmart secured $24 million from existing investors, founders, and the leadership team. In May of the same year, the company raised $42 million, with nearly half of the funding coming from its six founders. Together, the founders currently own almost 35% of the company.
BluSmart also announced that it secured long-term EV asset financing of $200 million with support from leading development financial institutions. As of September 5, 2023, the company reported surpassing an annual revenue run rate of Rs 400 crore. However, BluSmart has yet to file its financials for fiscal 2023 with the Registrar of Companies.
ResponsAbility, the investor in this round, has previously financed non-banking lenders in India, including Aye Finance, Annapurna Finance, Clix Capital, and Kinara Capital. The firm has also invested in startups such as Wingreens Farms, backed by Peak XV Partners, and fintech firm RenewBuy.
BluSmart has recently adjusted its tariff structures, implementing a new pricing structure on January 9 to better cater to different times of the day. During what the company terms as ‘Rush Hours,’ fares are higher by around 30% compared to ‘Relaxed Hours,’ as part of their efforts to drive better unit economics.
