Revival Plans of Hindustan Motors


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Let this thread be dedicated to Hindustan Motors a C.K.Birla group company which is barely managing to stay alive. from past couple of weeks the board members seems to have woken up to the 21st century and on a restructuring plan. lets see how that turns out.

Hindustan Motors mulls to partner with automajors for Chennai plant

Days after the Hindustan Motors (HM) board decided to hive off the Chennai facility to a wholly-owned subsidiary, the beleaguered automaker today said, the company was exploring options of roping in automobile multinationals to get them to outsource some of their manufacturing to the plant.

“The demerger is being done so that business units pursue their respective growth plans as appropriate. For Chennai plant there are options, collaborations with some other players is also one option,” Uttam Bose, managing director of Hindustan Motors said.
The Chennai plant in which HM manufactures Cedia, Outlander, Pajero and Montero in technical collaboration with Japanese automaker Mitsubishi, has an installed capacity of 24,000 units per year. However, there is ample idle capacity as the plant produced only 3,000 units last fiscal.

According to company officials, investment by Japanese car maker Mitshubishi is also one of the possibilities post-demerger. As of now, there is no equity participation from Mitshubishi in the facility.

The board of the CK Birla group company has recently decided to demerge and transfer its Chennai plant to its fully owned subsidiary organisation Hindustan Motor Finance Corporation Limited (HMFCL).

Hindustan Motors mulls to partner with automajors for Chennai plant
 
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Re: HM's revival plan

What a quick realization by HM!

Even if they simply rent out the place and the installed facilities, they might earn more than the 3000 units sold - wonder what they were thinking all this while. Stocks have been at a all time low since 2008 - i wish to know what the shareholders are thinking all this while!

We have all heard of poor management/ mismanagement but this one takes the cake really. Astonished at how bad one can be!
 
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Re: HM's revival plan

Birlas have earned a lot in the past.I do not think they are much bothered about HM'S survival.IIt's we auto lovers who are more concerned about it.
Even if they bring a cedia or lancer engine under the hood of classic amby , we can start feeling the difference. Don't know why Birlas are not moving?
 
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Re: HM's revival plan

i sometimes wonder why they stopped innovating/procuring after the contessa.

perhaps the govt orders might have felt them enough to sustain.

and that Govt. vehicles now preferring an SX4 as their ride has something to do with the realisation.
 
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Re: HM's revival plan

Mitsu is dying slowly. Loosing out sales in u.s,India they lost lang back and Evo is now history. No plans to get the new GTO. What is up with them?
 
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Re: HM's revival plan

Hindustan Motors plans refurbished Amby and Amby CS for 2013


Hindustan Motors, despite being an Indian company, may not be as popular as say Maruti Suzuki, Ford or Nissan. But the fact is that this dinosaur of yesteryear can be credited for introducing India to four wheels.

The HM Ambassador, a re-designed Morris Oxford, was one of the first cars that became a part of India’s landscape.

However, Hindustan Motors was no match to the ambitions of the giants such as Maruti Suzuki, Tata and Hyundai. Sure, there were brief periods of success thanks to their partnership with Mitsubishi but lack of products and limited brand exposure meant Gen Y would not even know the name of Hindustan Motors, forget the legacy.
However, it seems that the winds of change are finally blowing in their direction.

The board of directors of HM had a meeting on January 10, 2013 to consider restructuring of the company. Three results came out of the meeting –
The company decided to demerge and transfer its Chennai Car Plant to its fully owned subsidiary Hindustan Motor Finance Corporation Limited (HMFCL). This plant is responsible for manufacturing/assembling Mitsubishi products such as Pajero SFX, Cedia, Montero, Outlander, Lancer Evolution and Pajero Sport.

Hindustan Motors will take control of the Uttarpara plant in West Bengal and Pithampur plant in Indore, Madhya Pradesh. These plants are responsible for HM products such as Ambassador cars and light commercial vehicles such as Winner.
And an MoU was signed with Raaj Unocal Lubricants (RULL) for the manufacture and marketing of co-branded oils exclusively for HM vehicles.

The most interesting point is definitely the first one.
The demerger of the plant means HM can pursue its growth strategy with Mitsubishi in a much focused manner. The Japanese automaker immediately announced that it will launch a new Mitsubishi SUV after March 2013. There is a very good chance that HM is talking about the next generation Outlander.

HM-Mitsubishi will only focus on the SUV market from here on as it is their core competence. The automaker pulled the plug on the Cedia and Lancer sedans two months back to focus on SUVs.

Hindustan Motors is also in talks with automobile multinationals to get them to outsource some of their manufacturing to the Chennai plant. The current plant capacity is 24,000 units of which the company is using just 10-12 %. Lots of idle space there!
The automaker is on the heels of launching a two versions of the Ambassador – a sub 4 meter version and a revamped version with modern features like ABS, EBD, reworked readouts, new steering wheel and leather seats.

But the real question is – In today’s world of Volkswagens, Nissans and Hyundais, will Indian consumer will go back and trust HM?


Read more: Hindustan Motors showing signs of change?
 
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Re: HM's revival plan

Hindustan Motors plans refurbished Amby and Amby CS for
The automaker is on the heels of launching a two versions of the Ambassador – a sub 4 meter version and a revamped version with modern features like ABS, EBD, reworked readouts, new steering wheel and leather seats.


What about engine ? Why the hell they are fitting ABS and EBD to that turtle engine ? Thank god they didn't talked of disk brakes and EPS.
Don't know about the HM 's revival , but one day this thread will definitely require revival.No offence meant toward the OP, but overall , nobody will look seriously toward HM.
 
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Thread Starter #13
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then atleast borrow the fiat's national crdi engine., I will be first to book the classic one.
That would make this product a sureshot winner at least its sales number can be trippled overnight, and the poor Fiat too can make some money out of it.

Win win situation for both,
 
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I agree with Tornado, plonking the Engine of India from Fiat into Amby would be a good move and help improve its sales and also more amby's will be seen on roads again
 
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Hindustan Motors in-talks with global SUV makers for India operations

The Indian auto maker is in-talks with various car makers from Europe to utilize their surplus capacity at the Chennai plant.
Hindustan Motors’ Chennai plant was recently re-structured by the C.K. Birla company as a standalone subsidiary to make it more flexible and profitable in the future. All the decision pertaining to the newly formed business need not get stuck in bureaucracies of Hindustan Motors.
The Chennai plant’s current capacity in close to 24,000 units a year. Some of the capacity (close to 5000 units) is being used by Mitsubishi to assemble the Pajero Sport and Outlander. HM clearly has ample surplus capacity that can be utilized by other automakers for their India foray.
HM has no intentions of developing/launching new products in the Indian market. The only new product that will the light of the day is the new Ambassador but that will be manufactured in the West Bengal plant.
The news is almost certain that Isuzu is in-talks with Hindustan Motors for the surplus capacity. We could also see Peugeot grabbing a piece of the manufacturing plant.
Many Chinese automakers such as Foton, Chery and Great Wall who want to try out the Indian market can use Hindustan Motors as a stepping stone for their Indian foray.
Hindustan Motors and Mitsubishi are also focusing on the proliferation of the Pajero brand in India. After launching the Pajero Sport in September, the JV has managed to sell 2,500 units.
The JV now plans multiple variants of the Pajero Sport to shoot the annual sales to 5000 units. There are also plans to increase localization levels of the Pajero Sport to 50-60% from the current 20 percent to reduce the cost of manufacturing.


Read more: Hindustan Motors looking to partner with global SUV makers
 
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