Hero MotoCorp denies investing in Blu Smart Mobility
The country's largest two-wheeler maker Hero MotoCorp Ltd on Monday denied that it has participated in fund raising by Blu Smart Mobility while threatening to take legal action against the e-mobility startup.
Last week, Blu Smart Mobility claimed that it had raised a $2.2 million in an angel round from multiple investors, led by JITO Angel Network.
The startup had said that "apart from JITO Angel Network, other funds who participated in the angel round included Hero Motocorp, Mayfield Fund and Centrum, Micromax and few individual investors among others".
Denying its investment in the Blu Smart Mobility, Hero MotoCorp said the company "strongly denies any such participation and/or any investment made in Blu Smart Mobility".
Further, it is clarified that Hero MotoCorp neither released any media report related to Blu Smart Mobility nor was consulted for the same by any agency or person, it added.
"Hero MotoCorp Ltd reserves its right to initiate appropriate legal action against any entity/agency that indulges in spreading false information about the company."
Queries sent to Blu Smart Mobility for its comments over the development remained unanswered.
In June 2019, the Delhi-based EV startup partnered with Mahindra & Mahindra Ltd to fully launch its ride-hailing services in the region. As part of the partnership, the company will provide its all-electric Mahindra eVerito sedans to Blu Smart. Both companies have been testing waters in Delhi for the last five months.
Currently, Blu Smart will induct 70 Mahindra eVerito premium sedans in the first phase, across Delhi-NCR, including Gurugram, Noida, Greater Noida, Ghaziabad, and Faridabad. In future, Blu Smart will add 500 Mahindra eVeritos into its all-electric ride sharing fleet by April 2020, and further expand to other cities such as Mumbai and Pune.
Blu Smart has already installed 15 charging points in Delhi-NCR, and they are planning to add 50 more charging points by August 2019.
Disclaimer: Additional background information has been added to this PTI copy for context.
(Edited by Saheli Sen Gupta)