Exide Industries Ltd. invested approximately Rs 75 crore in a wholly owned subsidiary to set up a greenfield plant in Bengaluru. The investment was through a subscription in the equity share capital of Exide Energy Solutions Ltd. on a rights basis, according to an exchange filing on Tuesday.
The company acquired 2.08 crore shares at a premium of Rs 26 apiece. The total investment in its arm stands at Rs 2,652.24 crore, Exide said.
EESL will use the investment to set up the greenfield plant and meet its various funding requirements. The plant is for manufacturing and selling lithium-ion battery cells, modules and packs.
EESL was incorporated on March 24, 2022, and is engaged in the business of manufacturing and selling lithium-ion battery cells, modules and packs for India's electric vehicle market and stationary applications.
Exide's net profit rose 15% to Rs 280 crore in the first quarter of the current financial year but missed analyst estimates. Shares of Exide closed 0.09% higher at Rs 497.25 apiece on the BSE, compared to a 0.47% advance in the benchmark Sensex.
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