DSK Motorwheels to invest Rs 300 cr to set up new plant
DSK Motorwheels, a part of the diversified conglomerate DSK Group, is planning to invest Rs 300 crore to set up a plant to localise the production of 250cc 'Hysoung GT250R', which it launched here today.
"We plan to invest Rs 300 crore to set up a new plant with an aim to localise the production of our newly launched bike Hysoung GT250R," Director of DSK Motorwheels, Shirish Kulkarni told reporters here on the sidelines of the launch of the 250cc bike. He, however, said the company has not zeroed in a place yet and will decide it soon.
Referring to nature of funding, Kulkarni said the whole investment will be in the form of equity and there will be no debt raised for this purpose. "We hope to start the production in next 18 months, which will significantly reduce the cost of production of the bike," he said.
"While ex-showroom cost of the bike will be now Rs 2.75 lakh per unit, it can be reduced to around Rs 1.5 lakh-Rs 1.75 lakh after the local production," he added.
Hysoung GT250R (Read : 2012 Hyosung GT250R First Ride), which will be sold across all 18 dealerships of DSK, is produced by Japanese group, S&T Motors, which is planning to introduce its other super bikes in the country in the near future. DSK Group, which has a turnover of around Rs 4,000 crore, operates in sectors like construction, real estate, automobiles, digital products, education, and pharmacy among others.
: Hyosung GT250R