Hero Motor Corp announces tie-up with Abans of Sri Lanka
04 September 2012
India's biggest two-wheeler maker, Hero Motor Corp has announced a tie-up with the Abans Group, which comprises of 21 individually operating businesses with over $100 million turnover, to sell its motor cycles in Sri Lanka.
The company had reported a 12-per cent year-on-year decline in sales yesterday like most other auto firms due to the downturn in the Indian economy. Two-wheeler sales had been especially hit by a drop in rural income and weak monsoons.
The company's shares had performed worse than those of its rivals like Bajaj Auto as the company was totally dependent on local sales for growth.
The company has formed a partnership with Abans, one of the largest and highly diversified business groups of Sri Lanka, to market and retail its products and under the alliance, Abans has been appointed as the sole distributor of Hero two-wheelers in Sri Lanka.
The company's two-wheelers would be distributed through a network of over 50 outlets which would eventually be doubled in the next one year.