Exide Industries Limited (EIL) has invested ₹450,00,00,000 via a rights subscription into its wholly owned subsidiary, Exide Energy Solutions Limited (EESL), on March 25, 2026. This capital infusion is specifically earmarked to fund EESL’s ongoing green field plant setup in Bengaluru for advanced lithium-ion battery manufacturing. This investment maintains EIL’s 100% shareholding in EESL, with the total investment now standing at Rs. 4,802.23 crore.
Strategic Capital Infusion into Subsidiary
On March 25, 2026, Exide Industries Limited (EIL) completed a significant equity investment of Rs. 450,00,00,000/- (Four Hundred Fifty crores). This funding was channeled to Exide Energy Solutions Limited (EESL), EIL’s wholly owned subsidiary, through a rights basis subscription in the equity share capital.
The total accumulated investment by EIL into EESL, including share premium, now reaches Rs. 4,802.23 crore. It is important to note that this transaction results in no change in the shareholding percentage; EIL retains 100% ownership in EESL.
Rationale for the Investment
The primary objective of this rights investment is to finance the development of a green field plant at Bengaluru. EESL is establishing this facility for the manufacturing and sales of advanced lithium-ion battery cells, modules, and packs, targeting the burgeoning electric vehicle (EV) market and stationary applications.
The acquisition terms were set at Rs. 10/- per share at a premium of Rs. 30/- per share, totaling 11,25,00,000 equity shares allotted to EIL.
Overview of Exide Energy Solutions Limited (EESL)
EESL was incorporated on March 24, 2022, and operates within the industry of manufacturing battery cells of advanced chemistry (cylindrical, pouch, prismatic), modules, and packs.
Key financial metrics for EESL as of March 31, 2025, were:
- Paid up equity share capital: Rs. 1504.21 crore
- Net worth: Rs. 2,738.06 crore
- Turnover: Rs. 116.89 crore
- Loss after Tax for the year: Rs. 209.12 crore
The turnover history for the last three fiscal years (subsequent to the merger of erstwhile subsidiary EEPL with EESL) is detailed as follows:
- FY 2024–25: Rs. 116.89 crore
- FY 2023–24: Rs. 239.14 crore
- FY 2022–23: Rs. 112.05 crore
Transaction Status
The transaction is confirmed to be at arm’s length. Given that EESL is already a wholly owned subsidiary, the existing 100% shareholding of EIL remains unchanged following the allotment completed on March 25, 2026.
Source: BSE
