Hero MotoCorp to enter European market next year

In the first phase of its foray into Europe, Hero MotoCorp plans to launch products in Italy, Spain and France, followed by the U.K. and Germany.

Hero MotoCorp vice-chairman, CEO and MD Pawan Munjal. Photo: S. Subramanium

Hero MotoCorp on Tuesday said it would enter the European market by the end of 2015, in line with the company’s effort to expand global footprint.

In the first phase of its foray into Europe, Hero MotoCorp plans to launch products in Italy, Spain and France, followed by the U.K. and Germany in the next phase of expansion.

The company will initially launch its hybrid scooter ‘Leap’ in these markets, and subsequently bring more models of its scooters and motorcycles, it said in a statement.

“Having already stamped our presence in Asia, Africa, Latin and Central America, we are now looking at stepping into the European market by the end of 2015 with our hybrid scooter Leap making its debut here,” company Vice Chairman, Chief Executive Officer and Managing Director Pawan Munjal said.

While the company was looking for potential partners, it was also open to M&A opportunities to be able to make quick inroads into these markets, he added.

Hero MotoCorp has been on an aggressive expansion spree over the past three years. The company had announced an investment of $800 million recently for building capacity across the globe in the next few years. At present, it is present in over 20 countries.

The company plans to enter the U.S. and Brazilian market by 2016. By 2020, the company aims to be in over 50 countries with 20 assembly facilities globally.