Honda Motor Co. is selling its shares in one of India’s largest motorcycle manufacturers, Hero Honda, the company reported.
Honda will sell all of the shares it currently holds in a joint venture with Hero Honda Motors, which is 26 percent of Hero Honda’s outstanding shares, the company said.
Hero Honda was established in 1984. It has grown to be an industry leader in India, a press release stated. In 2009 Hero Honda sold approximately 4.3 million units of motorcycles in India, a 23 percent increase compared to 2008.
“In order to assure service to the customers, Honda will grant the necessary license to enable continued production and sales of current products as well as a license for new products,” Fumihiko Ike, Honda’s COO for regional operations in Asia & Oceania, said in the press release.