Total investment is about Rs.200 crore
Hero Cycles, on Friday, said it would invest about Rs. 200 crore for setting up two new plants in the country by 2014.
“We are setting up a new plant in Bihar, which will be operational be January 2014. This will be followed by another plant at Mangli in Ludhiana in the same year. The total investment in these two new plants will be about Rs. 170- Rs. 200 crore,” Hero Cycles Co-Chairman and Managing Director Pankaj Munjal said.
The two new plants will have installed capacities of one million cycles per annum each. The company’s existing plant at Ludhiana has a capacity of six million units.
Meanwhile, the company also opened its flagship retail store 'HeroOne' here on Friday. “By launching our own retail franchises, we are trying to change the face of cycle retail in India, and bring it at par with other lifestyle products. Going forward, we plan to come up with multiple such stores in different cities of the country,” Mr. Munjal said. Hero Cycles traditionally sells its products through dealers and multi-brand retail outlets, and is now expanding through a exclusive franchise dealer network.
The company has set a target of opening 200 'HeroOne' stores during this ongoing fiscal.