Hero MotoCorp (HMC) on Monday said it has picked up 49.2 per cent stake in US-based high-end motorcycle maker Erik Buell Racing (EBR) for USD 25 million (about Rs 148 crore).
The development comes more than a year after the two companies had entered into design and technology sourcing pact as the Indian firm looks to strengthen presence in the global markets.
"This is the first time that Hero has gone out of India to buy equity into a company. This is the first step of Hero in terms of financial investment (into a company) on the road towards globalisation of the Hero brand," Hero MotoCorp MD and CEO Pawan Munjal told reporters here.
Commenting on the gains from the acquisition, he said: "This extends our relationship. We will be working with EBR even more closely now and get into selling and marketing of both EBR and Hero brands of products in both international and domestic markets."