Vijay Munjal-led Hero Eco acquired the UK-based Ultra Motors for an undisclosed amount, aiming to strengthen its presence globally in the electric vehicle segment.
Hero Eco, the newly formed umbrella entity by Vijay Munjal-led companies that include Hero Electric, Hero Exports, Hero Cycles, Mediva, Winn and Hero Ecotech, plans to invest Rs 450 crore in the next five years across businesses. The company is also planning to set up an electric vehicle facility in North America within the next 18 months.
“Hero Eco has acquired Ultra Motors in UK. This will give us an exposure to all the markets where Ultra Motors were present and will strengthen Hero’s brand globally,” Hero Eco Managing Director Naveen Munjal said.
Ultra Motors has 3 plants and is present in 6 countries with sales networks in 22 nations across the globe. Earlier, Hero Electric had a tie-up with Ultra Motors for Indian operations, but it fell apart later. The foreign firm had closed shop here about two years ago. Ultra Motors currently has its main manufacturing plant in Taiwan and has two contract assembly plants in China.
The contract manufacturing activities of the two Chinese plants will shift to India. Currently, Hero Eco has all its manufacturing facilities in Ludhiana. While it produces 65,000 units of electric 2-wheelers, 9 lakh bicycles are rolled out every year.