Shares of Exide Industries were trading 2% higher after trading flat during the early trading hours on 28 December after the company invested Rs 40 Crore in its wholly-owned subsidiary.

In its regulatory filing, the company said that it has invested Rs 40 crore in its wholly-owned subsidiary Exide Energy Solution Ltd by subscribing to 1.29 crore equity shares with a face value of Rs 10 each at a premium of Rs 21 per share.

After the investment, the total investment in Exide Energy Solutions now stands at Rs 1,820.01 crore.

Under such a purchase, the company’s ownership stake in EESL remains unchanged.

Exide Energy Solutions Limited is a 100% subsidiary that specialises in Lithium-ion cell production and has already begun the construction of India’s single-site, multi-gigawatt lithium-ion cell manufacturing facility.

The company is in the business of manufacturing batteries for the automotive sector, like two-wheelers, three-wheelers, four-wheelers, H-UPS, and E-rickshaws. The company produces batteries that range from 2.5 Ampere hours (Ah) and are used in two-wheels to 260 Ah, which can be used for non-vehicular applications.

The company runs ten production sites, manufactures 54 million vehicle batteries in a year, and supplies 5.8 billion watts-hours of industrial electricity annually.

At 3:30 pm, the shares of Exide Industries closed 2.31% higher at Rs 308 on NSE.