World’s largest two-wheeler manufacturer Hero MotoCorp has formed a joint venture with Magneti Marelli to develop new fuelling systems and engine technology for its motorcycles and scooters.
This new entity will be known as HMC-MM Auto Ltd, where Hero will hold majority stake of 60 percent, while the remaining 40 percent will belong to Magneti Marelli. Over the next three years Hero and Magneti Marelli will invest close to Rs 530 crores in 60/40 ratio, while the total investment over the next ten years is estimated to be around Rs 1,700 crores.
HMC-MM will also open an autonomous development centre which will help develop products for different markets around the world. Along with electronic fuel injection systems, Hero through this JV will also develop immobilisers, traction and slip control, multi map, flexi and multi fuel management systems.
Also, Hero’s research and development facility at its Gurgaon and Dharuhera plant which employs over 400 engineers will soon shift to its Global Innovation and Research and Design Centre in at Kukas, Rajasthan.