Hero MotoCorp will invest Rs 2,575 crore on expansion, including setting up two new plants in Gujarat and Rajasthan and an R&D centre by 2013-14.
The company will invest Rs 400 crore on the Neemrana plant that will have an installed capacity of 7.5 lakh units per annum. It will invest another Rs 1,100 crore on a new plant in Gujarat which will have a total capacity of 12 lakh units per year.
Also, another Rs 400 crore is being invested to set up a research and development centre near Jaipur.
Besides, the company said it has an ongoing investment of Rs 500 crore for capacity expansion of existing plants. It has also earmarked Rs 175 crore for various other investments.
At present, the company has three three manufacturing plants at Dharuhera and Gurgaon in Haryana, and Haridwar in Uttarakhand.
While the Neemrana plant will go onstream by the first quarter of 2013-14, the Gujarat plant will be commissioned by the second quarter of FY14, Munjal added.
Published 05 June 2012, 15:53 IST