Exide Industries Limited (EIL) announced on July 16th a significant investment of ₹74.99 crore in its wholly-owned subsidiary, Exide Energy Solutions Limited (EESL), through a rights issue. This investment is aimed at funding EESL's green field project in Bengaluru, focused on manufacturing lithium-ion battery cells, modules, and packs for India's electric vehicle market and stationary applications.
Following this investment, EIL's total investment in EESL has reached ₹2,577.24 crore, which includes investments made in the erstwhile merged subsidiary, Exide Energy Private Limited (EEPL). Despite the substantial investment, there is no change in EIL's shareholding percentage in EESL, which remains at 100%.
EESL plays a crucial role in Exide Industries' strategic expansion into the growing electric vehicle market. The company is developing advanced chemistry and form factor battery cells, catering to the increasing demand for lithium-ion batteries in India.
This move by Exide Industries underscores its commitment to clean energy and sustainable solutions. By investing in EESL, the company is positioning itself to capitalize on the rising demand for lithium-ion batteries and contribute to India's transition towards electric mobility.
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