CIE Automotive India Invests ₹120.76 Crore in CIE Hosur to Support Capex and Corporate Requirements
CIE Automotive India Limited has made a further investment of ₹120.76 crore in its wholly owned subsidiary, CIE Hosur Limited, through a rights issue. The investment is aimed at strengthening the subsidiary’s financial position and supporting capital expenditure and other corporate requirements.
The company disclosed the development on September 4, 2026, in a regulatory filing with the stock exchanges.
CIE Automotive India Invests ₹120.76 Crore
CIE Automotive India acquired 69.40 lakh fully paid-up equity shares of CIE Hosur Limited on a rights basis.
The shares were acquired at ₹174 per share, including a premium of ₹164 per share, for an aggregate cash consideration of:
₹120.76 crore
Following the investment, CIE Automotive India continues to hold 100% of CIE Hosur Limited, and there is no change in the subsidiary’s wholly owned status.
How CIE Hosur Will Use the Funds
According to the company, the funds raised by CIE Hosur will primarily be used for:
- Repayment of intercorporate loans
- Capital expenditure
- General corporate purposes
The investment therefore provides additional financial resources to CIE Hosur while supporting its ongoing automotive business and future capital requirements.
CIE Hosur: Automotive Business
CIE Hosur Limited operates in the automotive industry and is a wholly owned subsidiary of CIE Automotive India.
The company was incorporated on August 6, 2021, and has its registered office in Hosur, Tamil Nadu.
CIE Hosur reported turnover of ₹175.20 crore in 2025, compared with ₹134.70 crore in 2024 and ₹112.37 crore in 2023.
This represents a steady increase in turnover over the three-year period.
CIE Hosur Turnover
- 2025: ₹175.20 crore
- 2024: ₹134.70 crore
- 2023: ₹112.37 crore
The growth in turnover indicates an expanding business scale for the Hosur subsidiary.
No Change in Ownership
The transaction does not result in any change in control or ownership.
CIE Automotive India acquired the additional shares under a rights issue and continues to beneficially own 100% of CIE Hosur Limited.
The company also stated that, apart from its existing holding through CIE Automotive India, the promoter, promoter group and group companies do not have any other interest in CIE Hosur.
Regulatory Approvals
No government or regulatory approval was required for the transaction, according to the company’s disclosure.
The acquisition has already been completed.
Points to consider
The ₹120.76 crore investment is an internal capital infusion into an existing wholly owned automotive subsidiary, rather than an acquisition of a new business.
For investors, the key points are that the funds will support debt repayment, capital expenditure and general corporate needs, while CIE Automotive India retains complete ownership of CIE Hosur.
The continued growth in CIE Hosur’s turnover—from ₹112.37 crore in 2023 to ₹175.20 crore in 2025—also suggests that the subsidiary has been expanding its business base. The effectiveness of the investment will ultimately depend on how the capital expenditure translates into capacity, revenue growth and profitability.