Hero Cycles now sets up its international HQ in London
As a part of its major push to expanding its overseas business and consolidating its global presence, Hero Motors Company (HMC) will be setting up its international headquarters in London. The new entity will be named “Hero International (HIT) in London. This will bring its HMC’s entire European business under one umbrella. It will unify HNF in Germany and Insync Bikes in the UK. The company has plans to increase its European revenue up to 300 million euros (Rs 2,480 crore) by 2021.
This move will also boost its electric bike business globally.
It is the long-term vision of Mr.Pankaj M Munjal, Chairman, to grab a substantial share of the fast and exponentially growing lucrative European Electric Bike Market.
HIT will have a strategic role in amalgamating and streamlining the different strategic strengths including its European research, development, and design centers, and also play a vital role in scaling up its manufacturing capability in India.
HMC has its Global R & D is presently centralized in Berlin with HNF, a premium engineering unit.
HIT will provide unified and strategic leadership to the company in Europe. Its finance, strategy, and supply chain operations will be centered there.
Pankaj M Munjal said: “With Hero International (HIT), the HMC Group now has an international headquarters in London to act as a catapulting agent to our global expansion plans. E-bike sales are expected to reach an estimated 30 million in Europe by 2030 growing at a CAGR of 26% between 2024 and 2030. With Europe as our key market, HMC has set its sights on capturing a greater pie of this fast-growing e-bike segment with a goal of touching a revenue of Euro 300 million (Rs 2,480 crore) by 2025. The dedicated headquarters in Europe will enable us to devise an effective long-term growth strategy backed up by manufacturing support from India where we are scaling up production capacity significantly through the International Cycle Valley project.”
The ambitious international plans will have robust backend support from the upcoming E-cycles Valley project in Punjab. This will ad capacities of 4 million bikes and e-bikes across India and Sri Lanka, the group avails zero duty exports to Europe from here. The E-Cycle valley will also build Hero Group’s manufacturing to 10 million bikes every year.