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Exide Industries, an automotive and industrial battery maker, is eyeing to invest Rs 6,000 crore in the next 8-10 years to set up a 12 gigawatt-hour lithium-ion cell manufacturing unit in Karnataka. The first phase with a capacity of 6 gigawatt-hour is expected to be completed in 27-30 months, a report by BusinessLine(BL) stated.
“We are a debt-free company and have sufficient reserves. So we will look at internal accruals (to fund the project) and some bridge loan facilities from banks as and when required,” Subir Chakraborty, MD and CEO, Exide.
The facility is expected to be spread over 80 acres. Exide has entered into a collaboration agreement with SVOLT Energy Technology Co Ltd (SVOLT) which makes and develops lithium-ion batteries and battery systems for EVs and energy storage.
The BL report added that SVOLT is providing Exide with an irrevocable right and licence to use, exploit, and commercialise necessary technology and know-how owned by them for Li-ion cell manufacturing in India.
The country is the leader in the lead-acid battery market. It has been taking steps to emerge as a big player in the Li-ion battery market. One of Exide's subsidiaries, Nexcharge, makes lithium-ion battery packs and modules. It is one of the largest such units in India.
BL also added that the company expects an annual revenue of Rs 10,000 crore- Rs 12,000 crore in the next 8-10 years from the lithium-ion cell business.
"It is difficult to say what percentage of the business lithium ion can comprise (in the future) as the lead acid business will also be growing," Chakraborty.
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First Published: Fri, September 23 2022. 11:06 IST