Hero Electric, the country’s largest electric two-wheeler firm, has tied up with the Mahindra group to manufacture electric bikes amid rising demand for such vehicles in the country.
The strategic partnership will see the Mahindra group manufacturing Hero Electric’s Optima & NYX at its Pitampur plant to meet the growing demands of the market. While the contract is for a tenure of five years, value of the transaction is expected to be Rs 140-150 crore.
The areas of agreement also include joint product development & knowledge sharing and electrification of Peugeot Motorcycles’ portfolio (acquired by the Mahindra group in 2019) through platform sharing.
“Hero Electric has announced a partnership with the Mahindra Group, which is leading the EV transition in the electric three and four wheelers space…The long-term partnership will also see both the companies make the most out of each other’s deep knowledge of EVs and drive new product development in the next few years,” Naveen Munjal, MD, Hero Electric said.
