Hero Honda  is India's biggest manufacturer of motorcycles and scooters. In a partnership deal, Honda Japan took a 26% equity stake in the Indian manufacturer, selling them parts under a royalty scheme. According to various news sources, Honda are wanting higher royalties, something the company does not want to pay, despite record revenue and profits by Hero Honda,
According to the same sources (see the Via: line above), four companies are interested in purchasing Honda's 26% stake in Hero Honda.
At this moment, Honda is denying any rupture with Hero Honda, but all reports indicated otherwise.
So, it looks like it's going to become Hero Motorcycle & Scooters... sounds better than Hero Honda anyway.
Click here to read more about the Hero Honda breakup .
Via: Reuters
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