Still fresh from the official separation from Honda, Hero MotoCorp announces hey will be shaking hands with Magneti Marelli and form a new joint-venture company which will produce electronics for Hero's bikes and possibly more.
This move is a very smart one for the leading Indian motorcycle manufacturer, especially after gaining control over 49.2% of Erik Buell Racing. Racing technology and developments coming from the US, and top-notch electronics from Europe and one of the leading names in the business, Hero's bike-making future looks rather bright.
Such a partnership is even more important and well-timed, as in a few weeks' time, Hero will no longer use any of Honda's electronics in their bikes. With 60% of the new HMC-MM Auto LTD, Hero will be able to direct the new business towards a solid advantage in both the Indian and Asian markets.
It will not be too long until Hero and Magneti Marelli will start offering electronic solutions to other manufacturers in the area, and get a bigger chunk of what Honda is still enjoying at the moment.
And with the Indian market gaining more and more momentum, it looks like the $8.5 mil (€6.18 mil) inital investment will start paying off really soon, just in time to fuel the anticipated $27 mil (€19.64 mil) investment expected for 2024.
Source Asphalt & Rubber.
Such a partnership is even more important and well-timed, as in a few weeks' time, Hero will no longer use any of Honda's electronics in their bikes. With 60% of the new HMC-MM Auto LTD, Hero will be able to direct the new business towards a solid advantage in both the Indian and Asian markets.
It will not be too long until Hero and Magneti Marelli will start offering electronic solutions to other manufacturers in the area, and get a bigger chunk of what Honda is still enjoying at the moment.
And with the Indian market gaining more and more momentum, it looks like the $8.5 mil (€6.18 mil) inital investment will start paying off really soon, just in time to fuel the anticipated $27 mil (€19.64 mil) investment expected for 2024.
Source Asphalt & Rubber.
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