Debt

Debt financing

EV cabs operator BluSmart raises Rs.633-Cr from PFC to triple fleet size

Advisor Release   Mint  

BluSmart, the Delhi-based electric vehicle ride-hailing company, has secured an INR 633 crore (USD 77 million) loan from Power Finance Corporation (PFC) to finance 5,000 electric vehicles for its platform. The loan will be spread out over the next two quarters. The company plans to expand its current fleet of 3,200 electric cabs to over 10,000 cabs by the end of the financial year. Luthra & Luthra was the legal advisor to the lender on the transaction. Gensol Engineering Limited, BluSmart's parent company, will also use the loan to finance 1,000 electric cargo three-wheelers and lease them out to last-mile delivery partners. BluSmart currently operates in Delhi and Bengaluru, and plans to expand its coverage in the two cities.