Hero MotoCorp’s Strategic Investment in Electric Three Wheelers

Hero MotoCorp, a prominent manufacturer of motorcycles and scooters, has made a notable strategic investment of up to Rs 525 crore (around $60 million) in Euler Motors, a company dedicated to electric three-wheelers. This investment reflects Hero MotoCorp’s initiative to venture into the expanding electric three-wheeler sector. This is the company’s second significant investment in the electric vehicle (EV) landscape, following its acquisition of a majority stake in Ather Energy.

Details of the Investment

The investment was approved by the Board of Directors of Hero MotoCorp during their meeting on March 20, 2025. It will be executed in one or more phases, allowing Hero MotoCorp to secure a 32.5% stake in Euler Motors on a fully diluted basis. This funding comes on the heels of a $24 million extended Series C funding round completed within the last year.

Vision for Future Mobility

Pawan Munjal, the Executive Chairman of Hero MotoCorp, referred to the investment as a courageous move aimed at realising the company’s goal to “Be the Future of Mobility.” He highlighted the importance of collaboration and flexibility in an ever-changing market, reiterating Hero MotoCorp’s dedication to accelerated growth through both organic and inorganic means.

Euler Motors Overview

Founded in 2018 by Saurav Kumar, Euler Motors has introduced its flagship vehicle, the HiLoad EV, touted as the most powerful electric cargo three-wheeler with a remarkable range of 170 kilometres. The Delhi-based company has recently broadened its product offerings with the introduction of its first electric commercial four-wheeler. Currently, Euler Motors operates in over 30 cities across India and has experienced substantial growth, reporting a turnover of Rs 172 crore for the financial year 2023-24, up sharply from Rs 49 crore the previous year.

Hero MotoCorp’s Position in the Market

The investment made by Hero MotoCorp in Euler Motors is anticipated to establish the company firmly within the electric three-wheeler market, where electric vehicles are predicted to represent a considerable share of total sales in the forthcoming years. In the competitive landscape of electric three-wheelers, Euler Motors goes up against emerging brands like Altigreen, in addition to well-known firms such as Mahindra Electric, Piaggio, Kinetic Green, and Tata.