Why Apollo Micro Systems’ Stock Is Gaining Traction in the Defence Sector Today?
Amid a highly volatile trading session on Thursday, shares of Apollo Micro Systems Ltd. (AMSL) witnessed a sharp intraday rally, surging over 7% before partially paring gains. The defence and aerospace company’s stock opened at ₹131.69 on the NSE, slightly higher than the previous close of ₹131.01, and soon surged to an intraday high of ₹141, reflecting a rise of more than 7.5%.
As of 2:07 PM IST, shares of Apollo Micro Systems were trading at ₹136.09, up 3.88% from the previous session, following some profit booking. On the BSE, the stock followed a similar trend, opening at ₹131.80 and touching a high of ₹141.10. The stock currently trades under ₹150 and has a 52-week high of ₹157 and a 52-week low of ₹88.10.
Apollo Micro Systems – What’s Fueling the Stock Rally?
The surge comes in response to regulatory and corporate updates from Apollo Micro Systems. Earlier this year, the company issued a notice and corrigendum related to its upcoming Extraordinary General Meeting (EGM). Key among the updates was a clarification regarding the allotment of convertible equity warrants, with 25% of the proceeds due at the time of allotment and the remaining 75% payable within six months — in line with SEBI’s ICDR norms, which require full payment within nine months.
Additionally, the company addressed regulatory concerns raised by the NSE, amending its filings by removing the term “and Private Sector” from a section in the corrigendum, aligning with compliance requirements.
Strategic Defence Collaborations
Adding to investor optimism is Apollo’s recent strategic collaboration in the defence sector. The company has inked a Memorandum of Understanding (MoU) with state-owned Munitions India Ltd., aimed at jointly developing and marketing advanced defence systems for both domestic and international markets.
In a separate development, Apollo Micro Systems has also partnered with Troop Comforts Ltd. for the joint production and development of cutting-edge air defence technologies, including anti-drone and anti-aircraft systems — a move expected to significantly boost its portfolio in defence technology solutions.
Outlook
The recent surge in stock price reflects growing investor confidence in Apollo Micro Systems’ expanding footprint in the defence sector and its commitment to regulatory transparency. With ongoing collaborations and robust development plans in the pipeline, the company appears well-positioned to benefit from India’s increasing focus on indigenous defence manufacturing.
(ALSO READ – ‘He’s Very Funny, Works 80–90 Hours a Week’: Tesla VP on Elon Musk )