Apollo Micro Jumps 5% as It Buys Into Premier Explosives
Apollo Micro Systems shares jumped 5% on Friday after it agreed to acquire a major stake in defence firm Premier Explosives. Premier Explosives’ shares saw a modest decline despite the acquisition offer being structured at a premium to recent trading levels. Apollo Micro Systems has signed a definitive agreement to... The post Apollo Micro Jumps 5% as It Buys Into Premier Explosives appeared first on Equitypandit.
Apollo Micro Systems shares jumped 5% on Friday after it agreed to acquire a major stake in defence firm Premier Explosives.
Premier Explosives’ shares saw a modest decline despite the acquisition offer being structured at a premium to recent trading levels.
Apollo Micro Systems has signed a definitive agreement to acquire a 41.33% stake in Premier Explosives from the company’s promoter, the AKS Family Trust.
The deal is valued at approximately Rs 1,550 crore, executed as an all-cash transaction at Rs 698 per share.
Following this, Apollo will launch a mandatory open offer to acquire up to another 26% stake from public shareholders at the same price of Rs 698.
If fully subscribed, Apollo’s total holding would reach 67.33%. In terms of operations, Apollo Micro Systems specializes in electronic and engineering systems for defence.
Premier Explosives is a leader in high-energy materials, rocket motors, and countermeasure systems, and maintains propellant facilities for ISRO at Sriharikota and Jagdalpur.
The merger is designed to create a unified entity capable of bidding for larger, integrated defence and space projects. The deal values Premier Explosives at approximately Rs 3,753 crore.
It was approved by Apollo’s board on 9 July and is expected to close within 4–5 months, pending regulatory approvals from bodies including the Competition Commission of India (CCI).
Premier Explosives reported revenue of Rs 388 crore for the financial year ended March 2026, compared to Rs 417 crore in the previous year.
Baddam Karunakar Reddy, Managing Director of Apollo Micro Systems, stated that the acquisition is a strategic move to bolster India’s domestic defence manufacturing capabilities and expand the company’s expertise in energetic materials and space programmes.
At 10:55 am, Apollo Micro Systems was trading at Rs 410.50, up 3.06% for the day. Premier Explosives stood at Rs 692.00, down 3.08%.
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The post Apollo Micro Jumps 5% as It Buys Into Premier Explosives appeared first on Equitypandit.
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