Automotive battery-maker Exide Industries has invested ₹40 crore to pick-up an over 2.5 per cent stake in its joint venture company, Exide Leclanche Energy Pvt Ltd. The investment was made to meet “various funding requirements” of the subsidiary.
Exide Leclanche is involved in the manufacture, assembly, trade, sale and distribution of lithium ion batteries, module making and associated systems. Post the investment, Exide’s stake in its lithium-ion JVC will increase to 82.71 per cent.
The company said it "invested an amount aggregating to ₹39,99,99,999 by way of subscription to the equity share capital of its subsidiary, Exide Leclanche Energy Private Limited" adding that 1,90,47,619 equity shares of ₹10 each were acquired at a premium of ₹11 each.
The joint venture company, incorporated in September 2018, had a turnover of over ₹2 crore in FY20 and a loss of ₹19 crore (apprx). Its net worth was around ₹145 crore.