Apollo Micro Systems Hits Upper Circuit After DRDO Approval

Apollo Micro Systems Ltd. experienced a significant surge in its stock price, hitting the upper circuit limit of 5% on December 23, 2025. This increase follows the company’s announcement that it received approval from the Defence Research and Development Organisation (DRDO) for two separate Transfer of Technology (ToT) agreements related to laser-based Directed Energy Weapons (DEW). The stock had previously reached its upper circuit limit the week before, marking a notable increase of over 14% in just one week.

The latest exchange filing reveals that, as of June 2, 2025, the company had allotted 3,80,67,058 warrants to 30 investors on a preferential basis. As per the terms of these warrants, an exercise amount of ₹10,00,008 (approximately £10,000) was received from investor Piyush Bhupendra Gala. Following this transaction, the Securities Allotment Committee of the Board of Directors convened on December 22, 2025, and approved the conversion of 11,696 warrants into an equal number of equity shares. This conversion raises the company’s issued and paid-up share capital to ₹35.72 crore.

The stock is currently trading at ₹262.15 on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The approval from DRDO is particularly significant, as it pertains to two advanced technologies. The first is a 10 kW multi-channel laser DEW system, developed by the CHESS Lab based in Hyderabad. The second is an electro-optical tracking system equipped with an electro-optical sensor for DEW, developed by the IRDE Lab in Dehradun.

Managing Director Karunakar Reddy stated that the transfer of these technologies represents a crucial milestone for Apollo Micro Systems. He emphasized that these advancements will enhance the company’s capabilities in the realm of directed energy weapons and support the Indian government’s “Atmanirbhar Bharat” initiative aimed at fostering indigenous defense technology.

This development highlights Apollo Micro Systems’ commitment to expanding its technological prowess and aligns with broader governmental efforts to promote self-reliance in defense manufacturing. The company’s recent achievements may position it favorably within the rapidly evolving defense sector, which is increasingly relying on advanced technology solutions.

As investors react positively to the news, the implications for Apollo Micro Systems could be significant, not only in terms of financial performance but also in its role within India’s defense landscape.