Shares of Waaree Energies Ltd ended 1% lower, after hitting a day’s high of Rs 3,509.60 on 25th September, despite the company announcing an investment of Rs 300 crore in its wholly-owned subsidiary, Waaree Energy Storage Solutions Private Limited (WESSPL), through a rights issue.

The investment comprises 60 crore partly paid-up equity shares of Rs 10 each. Rs 5 per share is paid on application, and the remaining Rs 5 per share is payable on call.

WESSPL, incorporated in February 2020 in Mumbai, reported nil turnover for FY25 and the previous three years. It will continue to be a wholly-owned subsidiary of Waaree Energies. The funds will be used to set up a Lithium-Ion Advanced Chemistry Storage Cell manufacturing plant. WESSPL operates in the renewable energy sector, aligning with Waaree’s core business. No regulatory approvals were required, and Waaree’s shareholding percentage in WESSPL will remain unchanged.

In its first-quarter results, Waaree Energies’ consolidated net profit rose 20.3% sequentially to Rs 745 crore from Rs 619 crore in Q4FY25. Operating performance improved significantly due to better efficiency and cost control. EBITDA jumped 73.4% quarter-over-quarter to Rs 997 crore from Rs 575 crore. The EBITDA margin improved to 22.5% from 14.3%, reflecting higher realisations and internal cost efficiencies.

At 3:30 PM, the shares of Waaree Energies ended 1.23% lower at Rs 3,447 on NSE.

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