Exide Industries Invests ₹100 Crore in EV Battery Subsidiary.

Exide Industries Limited (EIL) has invested ₹99.99 crore in its wholly-owned subsidiary, Exide Energy Solutions Limited (EESL), through a rights issue held on November 26, 2024.

This fresh investment will fund the establishment of a greenfield lithium-ion battery manufacturing plant in Bengaluru, aimed at serving the growing electric vehicle (EV) and stationary battery markets. With this capital infusion, EIL's total investment in EESL rises to ₹3,052.24 crore, maintaining its full ownership stake.

EESL, which was incorporated in March 2022, focuses on producing battery cells, modules, and packs for India's electric vehicle sector. For the fiscal year 2023-24, the company reported a turnover of ₹239.14 crore and a net worth of ₹1,981.56 crore as of March 31, 2024.

The rights issue offered 2,77,77,777 equity shares priced at ₹10 each, with an additional premium of ₹26 per share. Despite posting a loss of ₹149.45 crore in the previous fiscal year, EESL is continuing its expansion efforts, particularly in the critical battery manufacturing space to meet the increasing demand for EVs in India.

HBL