With the aim to meet up the increasing demand for batteries from the car and motorcycle segments, Exide Industries is eyeing to spend Rs 400 crore during the existing financial year (2010-11) to raise capacity in its different facilities.

This announcement was made by the top official of the company.

On the sidelines of the annual general meeting of the company, Mr. T. V. Ramanathan, managing director and chief executive officer, said, "We will be increasing capacity around 28 percent on SLI (starting-lighting-ignition) and 60 percent in motor cycle sector."

Out of total Rs 400 crore, Exide Ind would spend Rs 80 crore on its Ahmednagar facility in Maharashtr, which would come up in August 2010.

When asked whether this Rs 400 crore is from QIP that the company went into in March, he said, "We are spending money out of Rs. 530 crore QIP."

Ramanathan added that the company would hinge more on its smelting plants to source lead.

"Last year (2009-10), 42 percent of our lead requirement came from the two smelters we have. We plan to source 70 percent within the next two-three years through expansion of the these facilities or by acquisition of smelting capacities," he said.

Moreover, the company is working on novel products like lithium-ion batteries for automobile and batteries for electric motorbikes. (With Inputs from Agencies)