BlueSmart to triple fleet size with PFC’s ₹633 cr loan

Jaggi said BlueSmart’s parent company Gensol will use the loan to finance 1000 electric cargo three-wheelers and lease them to last-mile delivery partners. BlueSmart currently operates in the cities of Delhi and Bengaluru, and hopes to expand its coverage to the two cities as it expands its fleet.

633 crore loan is one of the largest EV asset finance transactions in India. The loan was sanctioned by PFC, a leading non-banking financial company in the Indian power sector. The first tranche of loan has already been disbursed, and the first batch of EV cabs has been rolled out in Delhi. BlueSmart said the loan will be disbursed over the next two quarters.

The adoption of e-mobility in the country is progressing at a rapid pace and we believe there is a lot of potential in this sector. Through this funding, PFC endeavors to contribute towards India’s Nationally Determined Contribution (NDC) targets, and will go a long way in moving towards a healthier and sustainable mode of transport”. PFC CMD Ravinder Singh Dhillon said.

“With the government’s thrust towards clean mobility, electric vehicles are rapidly gaining popularity in the country. Fulfilling the government’s vision, Power Finance Corporation, the country’s largest power sector lender, is committed to creating EV infrastructure, reducing dependence on fossil fuels, driving EV adoption in the country and contributing to the reduction of carbon emissions from the transport sector. Investing efforts. Furthermore, the Delhi EV policy aims to accelerate EV penetration across all vehicle segments so that by 2024, 25% of all newly registered vehicles will be EVs”, Jaggi told Mint.

The loan is a part of PFC’s vision to accelerate India’s net-zero goal. In addition to financing large scale renewable energy, PFC is exploring opportunities in debt financing of EVs (OEMs and fleet acquisition), battery OEMs and EV charging infrastructure, PFC said in a press release.

BlueSmart has raised $75 million (in equity and venture debt) from BP Ventures, Mayfield, Sarvam Partners and 9 unicorn funds, among others. It has also secured EV asset financing by DFI totaling $150 million, including a $35 million funding round from IREDA. The company is looking to expand its market share in the electric vehicle mobility segment by partnering with companies like PFC to fuel its growth.

“As we responsibly grow BlueSmart’s footprint across India, a partner like PFC will fuel our growth and help us grow our market share in the electric vehicle mobility segment,” Jaggi said.