Exide’s ₹3 Billion Power Play: Supercharging India’s Battery Revolution

Exide Industries Limited has announced a new investment of around ₹3 billion in its wholly owned subsidiary, Exide Energy Solutions Limited (EESL), as part of its continued support to India's growing electric vehicle (EV) and energy storage businesses. The capital infusion, which was carried out through a rights issue, takes Exide's overall investment in EESL to ₹3,302.23 crore.

Key Highlights:

The ₹3 billion investment is targeted towards funding EESL's greenfield lithium-ion battery cell factory in Bengaluru, which will cater to both the EV and stationary energy storage markets.

EESL, which was incorporated in March 2022, is a manufacturer of sophisticated lithium-ion battery cells, modules, and packs and is positioning itself as one of the prominent players in India's clean energy transformation.

The fresh funds will be utilized for continued construction, equipment fitting, and scaling up production capacities at the Bengaluru plant, which is planning a multi-gigawatt capacity.

Exide's equity holding in EESL continues to be 100%, with the investment designed to address the funding needs of the subsidiary without changing the shareholding structure.

The investment is the latest in a series of earlier capital injections, which mirror Exide's aggressive plans to grab a sizeable portion of India's rapidly expanding battery market, particularly as the nation speeds up its transition towards electric mobility and renewable energy.

As construction picks up pace, Exide is looking to commence commercial operations at the Bengaluru facility by FY26, cementing its position as a leader in cutting-edge battery technology for the Indian market.

Source: CNBC-TV18, pv magazine India, MarkLines