The Hindu Business Line : Hero Group to go solo for realty biz

New Delhi, May 6 Hero Group, which recently announced its plans to venture into the real estate sector, said it would expand the business on its own. The group’s real estate business would be headed by Mr Sunil Kant Munjal, who chairs Hero Corporate Services as well as the newly formed Hero-Daimler joint venture for commercial vehicles.

On the company’s foray into realty, Mr Sunil Kant Munjal told Business Line: “We are in the learning stage. It is a new business for us. But we are going solo for the project.” He, however, declined to comment on the investment that was being infused into the initial project in Haridwar or the expansion that the group was looking at.

“The idea is to expand it later. But I am not in the position to comment on anything beyond this,” he said at the sidelines of a CII CSR summit.

Last month, at the inauguration of Hero Honda’s new facility in Haridwar, Mr Pawan Munjal, Managing Director of the Group’s two-wheeler business, had mentioned that through a separate company Arrow Infrastructure, Hero Group was setting up schools, hospitals, and multiplexes to provide the city with a modern infrastructure. However, Hero Honda is not likely to have any stake in the new business.

Hero Group, which is around $4 billion, is diversifying into new businesses. Apart from the real estate and the commercial vehicle business, the group has inked an agreement with the German life and health insurance firm ERGO. It is learnt that Mr Sunil Kant Munjal is likely to head the operations for this business too.

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