History of Hero Honda Motors Ltd.
1984
- The Comp. was Incorporated on 19th January, at New Delhi. The Company Manufacture motor cycles upto 100 cc capacity. The Comp. was promoted by Hero Cycles [Ps] limited [HCPLs].
- The Comp. entered into a technical-cum-financial collaboration agreement with Honda Motor Co. Ltd., Japan [HMLs]. As per this collaboration agreement, HML was to furnish complete technical information & know-how & trade secrets & other relevant data.
- Hero Honda CD-100 is the first four stroke motorcycle to be introduced in India in 100cc range. Its most attractive features are fuel efficiency & its light weight. CD-100 will be equipped with electronic ignition system, illuminated speedometer, 4 speed gear box, neutral & flasher indicators, etc.
- 15 No. of equity shares subscribed for by promoters, etc. In November, 119,99,985 No. of equity shares issued at par of which 71,99,985 shares reserved for allotment as under:
- [is] 31,19,998 shares to Hero Cycles [Ps] Ltd., Hero Investments [Ps] Ltd., & Bahadur Chand Investments [Ps] Ltd.
- [iis] 31,20,000 shares to Honda Motor Co. Ltd., Japan and
- [iiis] 9,59,987 shares to friends & association of promoters. Out of the balance 48,00,000 shares, 2,40,000 shares were reserved for subscription by employees of Comp. & 96,000 shares by business associates. The remaining 44,64,000 shares were offered at par for public subscription during November.
1985
- The Comp. embarked on its 2nd phase of expansion of increasing its installed capacity from 1,20,000 to 1,50,000 vehicles per annum by the addition of several critical aliminium & steel components.
1986
- 36,00,000 rights equity shares issued at par in prop. 3:10.
1987
- The Comp. offered 6,00,000 - 15% secured redeemable non-convertible debentures of Rs 100 each for cash at par on rights basis in the proportion 1 debenture: 18 equity shares.
- Another 3,00,000 - 15% debentures were allotted to retain oversubscription. The debentures were to be redeemed at a premium of Rs 5 per debenture on the expiry of 7th year from the date of allotment of debentures.
- 3,75,000 rights equity shares issued at par in prop. 3:10.
1989
- The Comp. introduced a new model 'Sleek' during July.
- 850 No. of equity shares forfeited.
1990
- The Comp. was planning to launch a new model motor cycle-CD 100 SS sutiable to semi-rural conditions. In the domestic market the Company was reported to have a market share of 46%.
- 850 forfeited shares reissued.
1994
- The Comp. proposed to expand the capacity of existing plant at Dharuhera to 2,40,000 nos. per annum. Another plant with an installed capacity of 1,50,000 nos. per annum at Gurgaon Industrial Estate was being set up.
- The Comp. issued 39,79,500 bonus shares to the existing shareholders in the ratio of 1:4. The Comp. also issued 28,557 number of fractional coupons representing 14,250 shares against which shares shall be allotted to presenting the same for consolidation and allotment.
- The Company production & turnover increased to 1,83,490 motorcycles & Rs.483.85 crores respectively due to growth in demand for two wheelers & declining inflation.
1995
- 14,420 bonus shares issued by way of consolidation of fractional coupons. - A new Technical Collaboration Agreement has been signed with Honda Motor Co. Ltd., Japan for period upto the year 2004 which includes technology related to models of higher Engine displacement.
- The Comp. alloted 39,79,500 No. of Equity Shares of Rs. 10/- each as Bonus shares on 7th February, by way of capitalisation of General Reserves.
- The Comp. had issued 28557 No. of Fractional Coupons representing 14.250 shares against which the Shares shall be alloted on presenting the same for consolidation & allotment.
1997
- Hero Honda Motors has launched its newest motorcycle, the Street, a 100 cc bike designed for use in congested urban traffic conditions.
- Hero Honda Motors Ltd [HHMLs] has set up a new motorcycle plant in Gurgaon, near Delhi for manufacture of Honda Super Cub 100 cc stepthro bike.
- Hero Honda has set up a new state-of-the-art plant, heralding a new phase of development of motorcycle industry in India, to provide the most modern & technologically advanced production facilities.
- Hero Motors of Rs.1,600 crore Hero group, as part of its globalisation plan, has set up a plant in Brazil for manufacturing hero winner scooters.
- A new step thru model `Street-100' with unique feature was launched on 24th January.
1998
- The Comp. proposes to increase the share capital to 5 crore equity shares of Rs. 10 each, 4 lakh cumulative redeemable preference shares of Rs. 100 each & 4 lakh cumulative convertible preference shares of Rs. 100 each with power to increase or reduce it from time to time.
- The Comp. further proposes to capitalise Rs. 19,96,87,500 from general reserve to share capital through issue & allotment of bonus shares. Altogether, 1,99,68,750 fully paid bonus shares will be allotted & distributed to members of Comp. holding equity shares of Comp. in the proportion of one bonus share for every fully paid equity shares of Rs.10 each.
- Motorcycles major Hero Honda is considering entry into scooters in collaboration with partners, Honda Motors, after the Japanese company decided to walk out of Kinetic Honda, their scooter venture with the Firodias of Pune.
- Honda Motors recently pulled out of its joint venture with the Firodias in which it held a 51 per cent equity stake.
- Honda Motor Comp. Ltd of Japan [Hondas] & Kinetic Honda Motor Ltd [KHMLs] have signed a five-year licence & technical assistance agreement under which KHML will continue to receive the technical knowhow, critical vehicle parts & access to Honda markets even after the sale of Honda stake in KHML to Kinetic Engineering Ltd [KELs].
- The Comp. changed the paradigm in two-wheelers by launching the most powerful & fast bike- CBZ[ees] with a unique feature of Transient Power Fuel Control [TPECs] system.
- 23,962,500 bonus shares issued in prop. 1:1.
1999
- Hero Honda Motors Ltd [HHMLs] & 20th Century Finance Corporation Ltd have signed a Memorandum of Understanding [MoUs] for financing of Hero Honda motorcycles.
- The company, a joint venture between Honda Motor Comp. of Japan and Hero group of India to produce four-stroke motorcycles, also aims to increase its share by 1 per cent to 38.6 per cent during the current fiscal.
- Leading two-wheelers manufacturer Hero Motors has formed a joint venture with Briggs Stratton of US to develop & manufacture four-stroke engines for mopeds & scooters in India, a top company.
- Honda Motor Comp. of Japan has decided to re-enter the scooter market in India as also foray into three-wheelers in a joint initiative with its existing joint venture Comp. Hero Honda Motors Ltd.
2000
- Hero Honda Motors limited & Tata Finance limited have signed a national tie-up agreement. The Comp. is the largest manufacturer of motorcycles in the country.
- The Comp. will relaunch its stepthru Stree Smart on Baisakhi 13th April.
- Hero Honda Motors Ltd [HHMLs], has launched an upgraded version of the existing step-through motorcycle - the Hero Honda Street.
- The Comp. was ranked as the 9th Highest Value Creator among 12 industry groups within the Bombay Stock Exchange top 100 companies over a five year period [1994-99s].
2001
- Hero Honda Motors limited has launched a new 100cc motorcycle named `Passion'.
- The Comp. has secured shareholders' approval for splitting one equity share of Rs 10 each into five equity shares of Rs 2 each in the ratio of 1:5.
- Hero Honda Motors limited has become the largest seller of motorcycles amongst all Honda companies & ventures in the world by selling one million motorcycles during the current financial year.
- Credit rating Agency Crisil has reaffirmed outstanding `AAA' rating assigned to the proposed Rs 15 crore non-convertible debenture issue, Rs 16 crore commercial paper programme & fixed deposit programme of Hero Honda Motors.
- Promoter-Chairman of country largest motorcycle manufacturing company, Hero Honda Ltd, Brijmohan Lall Munjal has bagged the prestigious Ernst and Young Entrepreneur of Year [EOYs] award here on September 27.
2002
-Company included in the 30 companies Bombay Stock Exchange index [Sensexs]
-Becomes the world largest two wheeler Comp. by selling 1.3 million vehicles in 2001
-Japanese automaker Honda Motor for first time decides to source motorcycles from its Indian joint venture Hero Honda to sell as 'Honda' brandname in Vietnam
-Royalty to the Japanese parent, Honda Motor Co, hiked to Rs 630 per vehicle as compared to the flat royalty of Rs 200 on existing models like Splendor & Passion
-Approves Foreign Institutional Investors [FIIss] to increase their stake from the present 24 per cent to 40 per cent
-Comes out as the most profitable two-wheeler Comp. in the country during the trailing four quarters by overtaking second-largest player, Bajaj Auto
-Launches Ambition, a 133 cc 11 BHP vehicle
-Unveils Smart, a 75 cc step-thru
-Comes out with a free insurance scheme worth Rs 1,000 for all its bikes
-Bajaj Auto goes ahead of Hero Honda in market capitalisation [m-caps] growth in the last fifteen months
2003
-Achieves a landmark sales turnover of over Rs 5,000 crore during 2002-03
-Launches its cheapest 100cc motorbike 'CD Dawn'
-Hikes production capacity at two of its manufacturing facilities to three lakh units
-Hero Honda & SBI Cards launch co-branded credit card for Hero Honda customers
-Achieves milestone by producing five million bikes from its Dharuhera plant in Haryana
-Launches its new 223-cc, 16.8 BHP Karizma at Rs 79,000
-Joins hands with Small Industries Service Institute [SISIs] to train the unemployed youth who have finished diplomas
-Initiates a new dealer credit system which will bring down its receivable levels to around seven days & save the Comp. Rs 100 crore
-Introduces Passion Plus, new version of Passion motorcycle
-Forges marketing pact with Aprilia, the Italian bike maker, to introduce its range of motoscooters & top-end motorcycles in India
-The Comp. has bagged two Total Customer Satisfaction [TCSs] Awards.
-Hero Honda Karizma bags BBC Bike of Yr Award
2004
-Hero Honda retreats Ambition
-Hero Honda unveils new version of Ambition
-Hero Honda Dawn emerges as largest entry-level bike
-Hero Motors introduces 'Sting' new 4-stroke bike
-Hero Motors has announced a licensing agreement with Austria-based Bombardier-Rotax that will provide 125cc-175cc engines for upcoming `Hero Aprilia' range of scooters.
-Hero Honda renews alliance with Honda Motor
-Two-wheeler major Hero Honda & SBI Card, the credit card arm of State Bank of India, have joined hands to launch India first co-branded credit card in the two-wheeler industry
2005
-New product launches widen HHML product portfolio
-Two-wheeler major Hero Honda on October 5 announced launch of its first scooter 'Pleasure'
-Hero Honda rolls out 150-cc motorcycle Achiever
2006
-Hero Honda launches CBZ variant X-treme
-Hero Honda announced the launch of two new variants the new 'Glamour' & 'Passion Plus' limited edition.
2007
-Hero Honda Motors limited has appointed Mr. Yutaka Kudo as Director & Whole-time Director of Comp. in the category of Executive Director w.e.f. April 1, 2007.
2008
- Hero Honda Motors Ltd has informed that Mr. Arun Nath Maira. has been appointed as an Additional Director in the category of Non Executive & Independent Director w.e.f. December 20, 2008 by Board of Directors by way of passing a resolution by circulation.
