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Context is everything.
Detailed stories on technology startups, business and economic current affairs.
Detailed stories on technology startups, business and economic current affairs.
The shutdown raises questions about the ride-hailing company’s financial health and whether it is restructuring in light of recent developments involving Gensol Engineering.
BluSmart, India’s first all-electric ride-hailing startup, is shutting down its Dubai operations, three people with direct knowledge told The Morning Context. They all requested anonymity because they aren’t authorized to talk to the media. The move comes as the company faces financial constraints and struggles to secure additional funding.
“It seems the company has no runway left and fundraising has been difficult,” says one of the people quoted above. “Unless they raise capital, it will be difficult to sustain Dubai operations.”
“It makes sense. There were hardly any operations there and fewer than 50 cars,” says a second person quoted …
Ghost directors, family members on the payroll and shadow operators—inside the tangled web of power and money at BluSmart and Gensol.
A letter from one of BluSmart’s largest investors reveals how the ride-hailing startup’s promoters withheld critical information from the shareholders and the board while providing consistently inaccurate financial forecasts.
With his back to the wall, the founder is exploring options that could benefit him much more than others. Even at the expense of the customers, investors, vendors and employees.
