Hero Honda jumps 4% on new launch plans

Hero Honda Motors has jumped 4% to Rs 1,680 on reports that the company is planning to tap the 250cc space in the next six months.

The stock opened at Rs 1,632 and touched high of Rs 1692, and is the biggest gainer among the Sensex stocks.

According to a report, the company will launch 250cc bike before Diwali and will be priced at around Rs 1.5 lakh. R&D work on the bike is complete and trial production will begin in the next three months.

Meanwhile, the company posted 86% jump in net profit to Rs 1,633 crore during first nine months ended December, 2009 as compared to Rs 880 crore in same period of previous year.