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Exide Industries announced that its material subsidiary, Exide Energy Solutions (EESL), has completed commissioning of Phase-I

ICICIdirect Research 24 Sep 2026 DISCLAIMER

News: In a press release, Exide Industries announced that its material subsidiary, Exide Energy Solutions (EESL), has completed commissioning of Phase-I of its 6 GWh lithium-ion cell manufacturing facility at Devanahalli, Bengaluru, marking a key milestone in its transition into advanced battery manufacturing. The facility is designed to manufacture cells across multiple chemistries and form factors for mobility and energy-storage applications. This follows the progress highlighted in the Q1 FY27 earnings call, when Exide said all four production lines had been installed, the first NCM cylindrical line had started customer sample deliveries and the LFP prismatic line had begun sample supplies for three-wheelers and telecom applications. This commercialization includes 3 GWh (Nickel Manganese Cobalt) cylindrical line and 3 GWh LFP (Lithium Iron Phosphate) prismatic line.

View: Management had guided that the plant would start contributing revenue during FY27, with first-year utilisation targeted at 25–30% of the 6 GWh Phase-I capacity. Exide had invested ₹5,102 crore in EESL as of August 31, 2026 (Phase-1 of 6 GWH at a capex outlay of ~₹ 6,000 crore till FY28). The commissioning is structurally positive. Management has indicated that demand should not be a major constraint because the initial lines are targeting established applications such as two-wheelers, three-wheelers, telecom and stationary storage, where imported cells can potentially be substituted with locally manufactured cells.

Impact: Positive

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