Apollo Micro Systems has approved a capital-raising plan worth more than ₹3,322 crore, combining a preferential issue of equity shares and convertible warrants.
The company also cleared an increase in its authorized share capital to facilitate the transaction.
The move signals a significant scaling-up effort for the defence electronics manufacturer, which has seen its shares climb more than 7% recently, bucking a broader sell-off in Indian equities.
An Extraordinary General Meeting is scheduled for August 4 to seek final shareholder approval for the measures.
The move signals a significant scaling-up effort for the defence electronics manufacturer, which has seen its shares climb more than 7% recently, bucking a broader sell-off in Indian equities.
The rally was partly triggered by reports that key customer Bharat Electronics Ltd (BEL) is poised to secure major orders, boosting confidence in Apollo Micro Systems' order book.
The capital raise comes as the Indian defence sector continues to attract investor interest, with peers like Select Technologies recently pricing an initial public offering on the Pakistan Stock Exchange.