Hero MotoCorp on Monday announced a joint venture with Bangladesh’s Nitol Niloy group and both of them plan to invest around $40 million (over Rs 240 crore) in next five years.
The joint venture, in which Hero MotoCorp will hold 55 per cent stake and rest will lie with the Bangladeshi partner, plans to set up a new manufacturing facility which will have an annual capacity of 1.5 lakh units when fully functional by second quarter of 2015-16. The plant in Bangladesh will be the the first full-fledged manufacturing facility for the Indian two-wheeler major outside India. The diversified Nitol Niloy group has interests in various sectors and also markets Tata Motors’ vehicles in Bangladesh.