Kolkata based Vibgyor Vehicles, a part of the diversified Vibgyor group of companies with interest in retail, realty, hospitality and eductaion among others, today launched a 100cc economy class motorbike 'Gallop' for the suburban markets, and targets to sell 1.4 lakh units in 2009.
The company is eying an all-India presence banking on an extensive dealer and sub-dealer network of 521 and 1200 outlets respectively.
Raja Bhadra, chairman and managing director, Vibgyor Vehicles said that the company planned to launch a 125cc motorbike in May this year that will be followed up by a scooter launch in September-October, the festive season in this part of the country.
The net investment including the upcoming projects would be around Rs 660 crore, of which nearly 20 per cent has already been spent on the 'Gallop' project.
"Around 35 per cent would come from internal accruals", claimed M Bannerjee, head, operations, Vibgyor Vechicles.
"We are planning to have plants in north, south and west India as well and are currently scouting for locations", he added.
Having local plants would substantially reduce the transportation costs which is crucial for a low-priced vehicle like the Gallop.
The Gallop is priced at Rs 28,999 ex-showroom in Kolkata.
"Our target customer is the suburban young male with an average monthly income of Rs8,000 and above", Bhadra said.
The company plans to sell 1.5 lakh units of the Gallop in the very first year of the launch and take the numbers up to 2.5 lakh in 2010 and 3.5 lakh units 2011. Vibgyor's Dhulagori plant near Howrah is capable of manufacturing 17,000 vehicles per month in multiple shifts and Bhadra claimed that the company already had an orderbook of over 20,000 motorbikes.
