Exide Invests ₹200 Crore in Lithium-Ion Cell Project

Exide Industries has bolstered its commitment to renewable energy with a ₹200 crore investment in its wholly owned subsidiary, Exide Energy Solutions Ltd (EESL). This significant capital infusion, made on August 18, 2026, is dedicated to establishing a greenfield multi-gigawatt lithium-ion cell manufacturing facility in Bengaluru.

The investment was realized through the subscription of 5.71 crore equity shares of EESL. Following this transaction, Exide Industries' total investment in EESL has climbed to ₹5,102.23 crore. The company's board had previously approved an additional ₹1,400 crore for this strategic project.

EESL, established in March 2022, focuses on manufacturing lithium-ion battery cells, modules, and packs for India's electric vehicle sector and other applications. Despite a reported loss after tax of ₹248.16 crore for FY26, the company's net worth stood at ₹3,991.06 crore.

In related financial news, Exide Industries reported an improved EBITDA margin of 12.4% for Q1 FY27. Management noted that the lithium-ion pack business remained unprofitable due to reliance on imported cells, with anticipated pricing shifts from January 1, 2027, due to changes in China's export VAT rebate.