Hero Honda will invest Rs.600 crore over the next
two years for new facilities while keeping its option open on acquisitions. As
per the expansion plans, the company would set up a new plant and enter the
scooter market by next year.
Hero Honda and Japan's Honda Motor Company have
26 percent equity each in the joint venture motorcycle company, which would
generate resources internally for the investment plans.
Also see:
Hero
Honda to expand capacity (20-Nov-04)
Hero
Honda Motors plans expansion (26-Aug-03)