Exide Industries has announced a significant investment of ₹450 crore in its wholly owned subsidiary, Exide Energy Solutions Limited (EESL). This investment was made through a subscription to the equity share capital of EESL on a rights basis, maintaining Exide Industries‘ shareholding in EESL at 100%.
EESL, incorporated on 24th March 2022, is engaged in the manufacturing and sale of lithium-ion battery cells, modules, and packs, catering to India’s burgeoning electric vehicle market and stationary applications. The subsidiary is currently in the process of establishing a greenfield plant in Bengaluru to enhance its production capabilities.
The investment involves the allotment of 11.25 crore equity shares of ₹10 each, with a premium of ₹30 per share, aggregating to a total of ₹450 crore. This move is aimed at funding the greenfield project and meeting various financial requirements of EESL.
As of 31st March 2025, EESL had a paid-up equity share capital of ₹1,504.21 crore and a net worth of ₹2,738.06 crore. The subsidiary reported a turnover of ₹116.89 crore for the financial year ending 31st March 2025, with a loss after tax of ₹209.12 crore.
The transaction, executed at arm’s length, does not alter the shareholding structure of Exide Industries in EESL, which remains a wholly owned subsidiary. The investment does not require any governmental or regulatory approvals.
Exide Industries’ total investment in EESL, including previous investments in the erstwhile merged subsidiary Exide Energy Private Limited, now stands at ₹4,802.23 crore.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).