Exide Industries gains on signing agreement with Japanese firm

The announcement was made during market hours today, 5 February 2013.

Meanwhile, the BSE Sensex was down 79.38 points, or 0.4%, to 19,671.81

On BSE, 1.11 lakh shares were traded in the counter as against an average daily volume of 1.90 lakh shares in the past one quarter.

The stock hit a high of Rs 123.50 and a low of Rs 120.15 so far during the day. The stock had hit a 52-week high of Rs 166.30 on 19 October 2012. The stock had hit a 52-week low of Rs 112.90 on 16 May 2012.

The stock had underperformed the market over the past one month till 4 February 2013, sliding 14.64% compared with the Sensex's 0.17% fall. The scrip also underperformed the market in past one quarter, falling 14.73% as against Sensex's 5.31% rise.

The large-cap company has equity capital of Rs 85 crore. Face value per share is Re 1.

Exide Industries said it has entered into an additional Technical License and Assistance Agreement with Shin-Kobe Electric Machinery Company, Japan to implement new manufacturing processes for automotive batteries.

Shin-Kobe Electric Machinery Company is a manufacturer of automotive and industrial batteries and part of the renowned Hitachi Group and is a wholly-owned subsidiary of Hitachi Chemical Company, Japan.

Under this agreement, shin-Kobe will provide to Exide the technology and extensive technical support and assistance to enable Exide to manufacture quality automotive batteries in its various plants in India. This new technology would enable the company to not only manufacture superior quality batteries but also expected to result in cost reduction.

Exide Industries' net profit fell 0.2% to Rs 104.09 crore on 17.3% growth in net sales to Rs 1462.15 crore in Q3 December 2012 over Q3 December 2011.

Exide Industries is a leading manufacturer of lead acid batteries for automotive, telecom, traction, UPS, naval, and motive power markets.

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