Shares of Kabra Extrusiontechnik surged 17% intraday to Rs 482 after Battrixx, a subsidiary of Kabra Extrusiontechnik, signed an agreement with the largest electric two-wheeler (e2W) company Hero Electric to develop indigenous lithium-ion batteries on Monday.

Conceptualised and designed in-house by Hero’s R&D team, these batteries are equipped with advanced technology to power Hero Electric’s full range of electric scooters. This partnership supports improvements in battery safety, reliability and performance and fully supports Hero’s aggressive production line to meet growing e2W demand.

“This will prove to be a very strategic partnership for developing and manufacturing battery packs for advanced battery chemistries. According to Hero Electric’s forecast, the target is to supply 3 lakh battery packs and chargers in the next financial year,” the management said.

The stock was up 16% at Rs 478.65 at 12:30 pm, while the S&P BSE Sensex fell 0.84%. Meanwhile, shares of Kabra Extrusion have risen 40% over the past month, compared with a 3% gain in the S&P BSE Sensex. It hit an all-time high of Rs 566 on January 20, 2022.

Battrixx is positioned to provide a wide range of advanced Li-ion battery packs with intelligent battery management systems (BMS) to facilitate India’s transition to green energy storage and electric vehicles. Battrixx provides safe and lightweight batteries that are highly efficient, fast-charging and energy-saving.

Kabra Extrusiontechnik has been India’s largest manufacturer of plastic extrusion machinery for over four years and has recently ventured into the manufacture of Li-ion battery packs. The company belongs to the famous Kolsite Group.