Apollo Micro rallies 9% on heavy volumes, nears record high; here's why

In the past six months, the stock price of Apollo Micro Systems has zoomed nearly 60 per cent, as compared to 5.6 per cent rise in the BSE Sensex.

Apollo Micro Systems share price today

 

Shares of Apollo Micro Systems moved higher by 9 per cent to ₹148 on the BSE in Wednesday’s intra-day trade amid heavy volumes in an otherwise subdued broader market. 

 

In the past two weeks, the stock price of this smallcap defence company has rallied 25 per cent. In the past six months, it zoomed nearly 60 per cent, as compared to 5.6 per cent rise in the BSE Sensex. The stock was trading close to its record high of ₹1,120.25 touched on Monday, May 19, 2025.

 

At 12:58 PM; Apollo Micro Systems was quoting 8.5 per cent higher at ₹146.75, on back of two-fold jump in average trading volumes. As many as a combined 5.9 million equity shares have changed hands on the NSE and BSE. In comparison, the BSE Midcap and BSE Smallcap indices were up less than 1 per cent. 

FOLLOW STOCK MARKET LIVE UPDATES TODAY 

 

What’s driving the rally in Apollo Micro Systems

 

On May 19, 2025, Apollo Micro Systems informed that the company received in-principle approval from the NSE and BSE for the issue of 31.1 million equity shares of Re 1 each at a price not less than ₹114 to non-promoters on a preferential basis and; 38.07 million warrants convertible into 38.07 equity shares of Re 1 each at a price not less than ₹114 to promoters and non-promoters on a preferential basis.

 

On April 15, 2025, the company said it received orders worth ₹7.52 crore from the Defence Research and Development Organisation (DRDO), Public Sector Undertaking (PSU); and the private company was also declared the Lowest Bidder for orders worth ₹11.48 crore from DRDO & PSU.

 

On May 5, 2025, Apollo Defence Industries Pvt Ltd (ADIPL), a subsidiary of Apollo Micro Systems, entered into a Share Purchase Agreement to acquire 100 per cent equity stake in IDL Explosives for a total consideration of ₹107 crore, in an all-cash transaction.

 

IDL Explosives is engaged in the manufacture of full range packaged and bulk explosive specifically engineered for mining and infrastructure projects. Moreover it also offers an extensive range of cartridge explosives. It has served the Indian mining and Infrastructure Industry.

 

The explosive market size is expected to see strong growth in the next few years. The surge in government spending on the defense sectors in various countries including the US, China, India, Russia, the UK and France is projected to be a major driver for the growth of the explosive market during the period. 

 

The growth in the forecast period can be attributed to an increase in territorial and political conflict, global population growth and urbanization, increasing infrastructure development expenditure by governments and increasing construction activities.

 

With the acquisition, Apollo Micro Systems said the company have transitioned from a pure-play electronics company into a full-spectrum defence solutions provider, unlocking access to adjacent, high-value domains such as precision-guided munitions, loitering systems, warheads, and autonomous weapon platforms—each aligned with long-term, strategic defence programs.

 

As a part of the company’s goals towards becoming a Weapon System Supplier from a Weapon Electronics company this explosives systems acquisition would place Apollo Micro Systems as a complete Tier-I design cum manufacturing original equipment manufacturer (OEM) in Domestic and Global Foot Prints, the management said.

 

About Apollo Micro Systems

 

Apollo Micro Systems is a Hyderabad-based company engaged in the business of electronic, electro-mechanical, engineering designs, manufacturing and supply. The company specialises in the design, development and sale of high-performance, mission and time critical solutions to defence, space and home land security for the Ministry of Defence, government controlled public sector undertakings and private sector companies. Apollo Micro Systems also offers custom built COTS (Commercially off-the shelf) solutions based on specific requirements for defence and space customers. Its addressable industries include railways, automotive and home land security.