INDIAN NEWS & TIMES

Monday, January 30, 2023

Eicher Motors Ltd., leading Indian multinational automobile company, and parent company of Royal Enfield, global leader in the mid-weight motorcycles segment (250cc-750cc), today

announced a strategic collaboration in the space of electric motorcycles with Spain-based Stark Future SL. As part of this collaboration, the Board of Directors of Eicher Motors Ltd. has

today approved an investment of € 50 million for a close to 10.35% equity stake in Stark Future. With this investment, Eicher Motors Ltd., will have a seat on Stark Future’s Board, and

will explore further opportunities to collaborate in the space of electric mobility.

This investment has strategic significance for both Royal Enfield and for Stark Future, as both companies are keenly invested in creating innovative and sustainable solutions in global

mobility. Stark Future recently launched its first high performance electric motocross bike, the Stark VARG, which received an exceptional response from global media, professional

riders and dealers.

Speaking about Stark Future and this partnership, Eicher Motors Ltd Managing Director, Siddhartha Lal says, “We love the vision, passion and focus of the amazing team at Stark

Future. Leisure motorcycles do not easily lend themselves to EV technology at this stage, due to challenges like the battery range, packaging, weight and cost. This has resulted in stunted growth of this segment till now. Stark Future has been able to understand and harness the potential of EV technology by dramatically outperforming ICE offerings, without compromising on range, weight, packaging and cost. They have created an absolutely astounding motocross motorcycle – the Stark VARG as their entry into the EV world. We believe that Stark Future has the highest potential for real breakout growth in the EV leisure space with this model, and the potential to use this strong base to extend into other contiguous segments and beyond”

At the helm of affairs at Royal Enfield, B Govindarajan, CEO of the company, feels this is a perfectly symbiotic partnership, and says, “We are very excited to closely collaborate with Stark Future who are as focused as we are on challenging norms, pushing the boundaries and building uniquely differentiated offerings for riders. In addition to the sheer potential of Stark Future, we see immense synergies in this partnership. While they are scaling up and planning their market entry soon, we will support Stark in the industrialisation process. While they are thought leaders in EV technology, particularly in light-weight components and innovative solutions, we at Royal Enfield will draw on these capabilities for developing our EV platforms and will also plan to share some EV platforms in the future”