Exide Industries Limited announced on March 25, 2026, that it has invested Rs 450 crore in its wholly owned subsidiary, Exide Energy Solutions Limited (EESL), through subscription to equity shares on a rights basis. Following this transaction, the company’s total investment in EESL has increased to Rs 4,802.23 crore. The shareholding structure remains unchanged, with Exide Industries continuing to hold 100% stake in the subsidiary.
About Exide Energy Solutions Limited
EESL, incorporated in March 2022, operates in the lithium-ion battery segment. The company is involved in manufacturing battery cells, modules, and packs for electric vehicles and stationary applications.
As per the disclosure:
- Paid-up capital: Rs 1,504.21 crore
- Net worth (as of March 31, 2025): Rs 2,738.06 crore
- Turnover (FY25): Rs 116.89 crore
- Loss after tax (FY25): Rs 209.12 crore
Purpose of the Investment
The investment is intended to fund the development of a lithium-ion battery manufacturing facility in Bengaluru. The project includes production of battery cells, modules, and packs.
The company stated that the funds will be used to meet capital requirements related to this project.
Transaction Structure
The investment was made in cash through the allotment of 11.25 crore equity shares with a face value of Rs 10 each, issued at a premium of Rs 30 per share.
The transaction qualifies as a related party transaction since EESL is a wholly owned subsidiary. The company noted that the transaction was conducted at arm’s length.
Financial and Operational Background
EESL is focused on advanced chemistry battery manufacturing. Its operations include different battery formats such as cylindrical, pouch, and prismatic cells, along with assembly of battery modules and packs. The company reported turnover of Rs 239.14 crore in FY24 and Rs 112.05 crore in FY23.
Elctrik Speaks
The investment reflects continued capital allocation by Exide Industries towards its lithium-ion battery business through its subsidiary. The focus remains on building domestic manufacturing capacity for advanced battery cells and related components. With the Bengaluru facility under development, the move aligns with ongoing efforts by companies in India to scale local production in the electric mobility and energy storage segments.
