Exide Industries invests Rs 100Cr in subsidiary

Exide Industries' (EIL) stock saw a marginal increase in early trading on October 18 following the company's announcement of a Rs 100 crore investment in its wholly owned subsidiary. This marks the second such investment in as many months.

The company made the Rs 100 crore investment through subscription in the equity share capital of Exide Energy Solutions Limited (EESL) on a rights basis. EESL issued 3,22,58,065 shares valued at Rs 10 each, along with a premium of Rs 21 per share, totaling Rs 1,00,00,00,015 allocated to EIL.

Established on March 24, 2022, EESL focuses on the manufacturing and sale of lithium-ion battery cells, modules, and packs catering to India's electric vehicle market and stationary applications.

In a similar move last month, Exide Industries invested over Rs 100 crore through subscription in EESL's equity share capital on a rights basis.