Exide Industries Ltd has invested ₹1 billion in its wholly owned subsidiary, Exide Energy Solutions Ltd (EESL), through a rights issue. This infusion is part of a broader strategy to accelerate the development of EESL’s greenfield lithium-ion battery manufacturing facility in Bengaluru.
Key Highlights:
- The investment brings Exide’s total funding in EESL to ₹3,152.24 crore
- EESL allotted 2,77,77,777 equity shares to Exide at ₹10 face value and ₹26 premium per share
- Exide’s shareholding in EESL remains unchanged at 100 percent
- The funds will support production of advanced chemistry battery cells for EVs and stationary applications
- EESL’s FY24 turnover stood at ₹239.14 crore, despite posting a net loss of ₹149.45 crore
Strategic Outlook:
The Bengaluru plant is expected to play a pivotal role in India’s EV battery ecosystem, with formats including cylindrical, pouch, and prismatic cells. Exide’s continued investment signals long-term commitment to clean energy solutions.
Sources: Business Standard, CNBC TV18, Business Upturn, Batteries International.