We are pleased to announce that Spark Financial Holdings acted as the exclusive financial advisor to Hero Motors in its equity fund raise from GEF Capital Partners and its LPs for a minority stake in the company.
With this transaction, Spark has completed 15 transactions worth ~USD 1.4 Bn over the last 12 months.
Commenting on the development, Mr. Pankaj Munjal, Chairman of HMC Group, said, “We are extremely excited to have GEF Capital Partners, a marquee investor, partner with us in our endeavour to be amongst the leading cutting-edge technology players in global electric vehicle components value chain. This fundraise is testimony to the brilliant platform we have built over the last years having deep relationships with the OEMs from across the world.”
Commenting on the partnership, Mr. Amit Gupta, MD & CEO of Hero Motors, said, “This fundraise will help the company further augment its growth trajectory by enabling it to expand its network of facilities and allocate more capital towards R&D to be able to provide innovative products and solutions to our customers. The company has been consistently growing at over 50 percent CAGR in the last few years and the capital will be used to invest in further strengthening the company’s market position in its relevant markets and especially the fast-growing electric vehicle components space.”
GEF Capital’s Managing Partner, Mr. Sridhar Narayan, said, “Hero Motors is the largest manufacturer of e-bike components in India and is actively transitioning its Gears & Transmission business towards electric vehicles by acquiring capabilities across product engineering and process engineering. We are excited to partner with Hero Motors in its next phase of organic and inorganic growth.”
Sriram Patil, Director, Spark Financial Holdings said, “We are excited to have advised Hero Motors on their first external equity fund raise. Over the last decade, Hero Motors has established themselves as a partner of choice for marquee global OEMs. Given their strong manufacturing & design capabilities, deep client relationships and high quality team, Hero Motors is at an inflection point. We wish the team the very best.”