In a game-changing move, Hero MotoCorp, one of the world’s largest motorcycle and scooter manufacturers, has invested a massive $60 million (₹525 crore) in Euler Motors, a rapidly
In a game-changing move, Hero MotoCorp, one of the world’s largest motorcycle and scooter manufacturers, has invested a massive $60 million (₹525 crore) in Euler Motors, a rapidly growing electric vehicle (EV) startup. This investment not only gives Hero MotoCorp a significant stake in Euler Motors but also marks the company’s bold entry into the fast-evolving electric three-wheeler market.
But what does this deal mean for the future of mobility in India? Let’s break it down and explore how Hero MotoCorp’s investment could reshape the electric vehicle landscape.
Hero MotoCorp, best known for its motorcycles and scooters, has been making significant strides toward electrification in recent years. The latest deal sees Hero investing in Euler Motors, a Delhi-based EV startup focused on electric three-wheelers, specifically cargo vehicles. This strategic investment allows Hero MotoCorp to tap into the rapidly growing electric vehicle market, especially in the three-wheeler segment, which is expected to play a pivotal role in the future of urban mobility.
The investment will see Hero MotoCorp acquire a 32.5% stake in Euler Motors, which has already established a strong presence in India’s electric vehicle space. This is Hero’s second major investment in the EV sector, following its 40% stake purchase in Ather Energy, a well-known electric scooter manufacturer.
The electric three-wheeler market is projected to see explosive growth in the coming years. With increasing demand for eco-friendly and cost-efficient transport solutions, particularly in urban areas, electric three-wheelers are becoming a go-to choice for businesses looking to reduce their carbon footprint and operating costs.
By investing in Euler Motors, Hero MotoCorp aims to capitalize on this growing market and strengthen its portfolio of electric vehicles. The company’s vision to “Be the Future of Mobility” is evident in its commitment to innovation and expansion in the electric mobility space.
Founded in 2018 by Saurav Kumar, Euler Motors is already making waves in the electric vehicle space with its flagship model, the HiLoad EV. The HiLoad EV is an electric cargo three-wheeler that is being marketed as the most powerful vehicle in its category, offering an impressive range of 170 kilometers on a single charge. This makes it a popular choice for businesses involved in goods transportation and delivery services.
Euler Motors has already gained significant traction in the market. The company operates in over 30 cities across India and has expanded its product lineup with the launch of its first electric commercial four-wheeler. The startup has seen remarkable growth, reporting a turnover of ₹172 crore for the financial year 2023-24, a sharp increase from ₹49 crore in the previous year.
Hero MotoCorp’s investment in Euler Motors will help the latter scale its operations and expand its reach in India’s electric three-wheeler market. So, what can we expect from this collaboration?
With this investment, Hero MotoCorp is securing a strong foothold in the electric three-wheeler segment. The EV market is expected to account for a significant portion of vehicle sales in the coming years, especially with governments pushing for sustainable solutions and stricter emission norms. Hero’s partnership with Euler Motors positions it as a key player in this rapidly growing market.
Euler Motors has already shown that it can innovate and create high-performance electric vehicles with its HiLoad EV. With Hero MotoCorp’s financial backing and expertise, Euler Motors is expected to accelerate product development, introducing more models and enhancing its existing offerings. The partnership could also help Euler Motors expand its manufacturing capabilities, enabling the company to meet increasing demand.
Hero MotoCorp’s experience in the automotive sector can help Euler Motors improve its distribution channels, service networks, and customer outreach. This partnership could also boost the development of the EV infrastructure in India, including charging stations, service centers, and repair networks. As India’s EV ecosystem grows, collaborations between established players like Hero and innovative startups like Euler Motors will play a key role in shaping the future of mobility.
While Hero MotoCorp’s investment in Euler Motors opens up new opportunities, it also brings increased competition to the electric three-wheeler space. Euler Motors will now be in direct competition with other EV players like Mahindra Electric, Piaggio, and Okinawa, all of which are making aggressive moves to capture market share. However, with the added backing of Hero MotoCorp, Euler Motors is well-positioned to stand out in a crowded market.
For Hero MotoCorp, this investment is a strategic move that aligns with its long-term vision for the future of mobility. By tapping into the growing electric vehicle market, Hero is securing its place in the rapidly changing landscape of transportation. The company is expanding its EV portfolio and investing in innovative, sustainable solutions for urban mobility.
For Euler Motors, the partnership with Hero provides the company with the resources and expertise it needs to scale its operations and bring new products to market. Hero MotoCorp’s investment will not only boost Euler’s financial strength but also help the startup reach new heights of innovation and customer outreach.
The electric three-wheeler segment is poised for significant growth in India, driven by the need for affordable, eco-friendly transportation options. With increasing support from both the government and private investors, electric vehicles are set to become a mainstream solution for urban mobility in India.
Hero MotoCorp’s $60 million investment in Euler Motors is a clear signal that the future of mobility in India is electric. This deal is just the beginning of Hero MotoCorp’s journey into the electric three-wheeler market, and it’s likely that we’ll see even more collaborations and investments in the coming years.
Hero MotoCorp’s investment in Euler Motors is a powerful step towards building a more sustainable and innovative future for transportation. By investing in the electric three-wheeler space, Hero is setting itself up for success in a rapidly evolving market, while also helping Euler Motors scale its operations and expand its product offerings.
As electric vehicles become an integral part of India’s future, collaborations like this one between Hero MotoCorp and Euler Motors will pave the way for more sustainable, affordable, and efficient transportation solutions.
