The shares of Exide Industries Limited (EIL) were trading at ₹448.85, down by ₹8.20 or 1.79 per cent on the NSE today at 12:23 pm.
Exide Industries Limited (EIL) has invested ₹99.99 crore in its wholly-owned subsidiary, Exide Energy Solutions Limited (EESL), through a rights issue on 26th November 2024.
The investment is earmarked to fund a greenfield lithium-ion battery manufacturing plant in Bengaluru, targeting electric vehicle and stationary battery markets. With this additional capital, EIL’s total investment in EESL now stands at ₹3,052.24 crore, maintaining its 100 per cent ownership.
EESL, incorporated in March 2022, is focused on manufacturing battery cells, modules, and packs for India’s electric vehicle sector. The company’s financial results show a turnover of ₹239.14 crore in fiscal year 2023-24, with a net worth of ₹1,981.56 crore as of 31st March 2024.
The rights issue involves 2,77,77,777 equity shares priced at ₹10 each, with a premium of ₹26 per share. Despite reporting a loss of ₹149.45 crore in the previous fiscal year, the company continues to invest in expanding its battery manufacturing capabilities.
