Hero MotoCorp to acquire 32.5% stake in Euler Motors for INR 525 crores

Hero MotoCorp Ventures into Electric Three-Wheeler Market with Strategic Investment in Euler Motors

Hero MotoCorp, the world’s largest manufacturer of motorcycles and scooters, has announced a strategic investment of up to Rs. 525 crore in Euler Motors Private Limited, marking its entry into the electric three-wheeler segment. The investment, approved by Hero MotoCorp’s Board of Directors on March 20, 2025, underscores its vision to “Be the Future of Mobility” and diversify its portfolio in sustainable transportation. The acquisition is expected to conclude by April 30, 2025.

Key Highlights of the Investment:

Stake Acquisition: Hero MotoCorp will acquire approximately 32.5% of Euler Motors on a fully diluted basis through a mix of primary and secondary investments.

Market Opportunity: Euler Motors, founded in 2015, operates in over 30 Indian cities and specializes in designing, manufacturing, and servicing electric three-wheelers. It recently launched an electric commercial four-wheeler. The company reported a turnover of Rs. 172 crore for the fiscal year ending March 31, 2024.

Growth Potential: Electric vehicles (EVs) are projected to account for 35% of total three-wheeler sales in the near future, positioning Hero MotoCorp to capitalize on this emerging trend.

Dr. Pawan Munjal, Executive Chairman of Hero MotoCorp, stated, “This investment reinforces our commitment to innovation and sustainability. By partnering with Euler Motors, we aim to strengthen our leadership in the future of mobility while unlocking adjacent business opportunities.”

Also read: Euler Motors raises USD 20M in Debt Funding in Jan 2025