Hero MotoCorp hits record high on Rs 1,600 crore capex plan

The company would set up an ultra-modern manufacturing facility with a capacity to produce 1.8 million units annually in Andhra Pradesh.

Hero MotoCorp has moved higher by nearly 5% to Rs 2,969, extending its previous day’s 2% gain on BSE, after the company said it would set up an ultra-modern manufacturing facility with a capacity to produce 1.8 million units annually in Andhra Pradesh.

“The company on September 16, 2014 has entered into a Memorandum of Understanding (MOU) with the State Government of Andhra Pradesh to set-up a manufacturing plant in Chittoor district of the state of Andhra Pradesh,” Hero MotoCorp said in a press release.

The plant with an investment of Rs 1,600 crore approx will have a production capacity of around 1.8 million per annum, it added.

The stock opened at Rs 2,835 and touched a low of Rs 2,824 on BSE. A combined 334,317 shares changed hands on the counter so far BSE and NSE.