Hero MotoCorp to invest Rs 5.25 billion in Euler Motors

Hero MotoCorp Limited has announced an investment of Rs 5.25 billion in Euler Motors to enter the electric three-wheeler market. 

The investment will be made in multiple tranches, allowing Hero MotoCorp to acquire a 32.5 per cent stake in Euler Motors on a fully diluted basis. The transaction is expected to be completed by April 30, 2025, through a mix of primary and secondary acquisitions.

The investment will be entirely in cash, and no regulatory or governmental approvals are required. Hero MotoCorp’s primary investment will be in equity shares and Series D compulsory convertible preference shares of Euler Motors. Additionally, the company may acquire more shares from existing shareholders through a secondary sale.

Euler Motors designs, manufactures, sells, and services electric three- and four-wheelers, operating in 30 cities across India. The company previously raised Rs 2 billion in its Series C funding round in June 2024, bringing its total funding to Rs 5.7 billion. The capital is being used to expand its national presence, enhance service infrastructure, and accelerate product development.