Defence Stock in Focus As Board Allocates 7,15,85,865 Shares to Promoters & Non-Promoters and Bags Order from DRDO
The stock’s 52-week high is Rs 147.50 per share and its 52-week low is Rs 88.10 per share.
On Friday, shares of Apollo Micro Systems Ltd plunged 5.6 per cent to Rs 122.35 per share from its previous closing of Rs 129.60 per share with an intraday high of Rs 129.20 per share and an intraday low of Rs 119.55 per share. The stock’s 52-week high is Rs 147.50 per share and its 52-week low is Rs 88.10 per share.
The Board of Directors has allocated a total of 7,15,85,865 securities to promoters and non-promoters through a preferential allotment on a private placement basis. This includes 3,34,18,806 equity shares issued at Rs 114 per share for an aggregate amount of Rs 3,80,97,43,884 to 77 investors. Additionally, 3,81,67,059 convertible warrants were issued at Rs 114 per warrant for an aggregate amount of Rs 4,35,10,44,726 to 30 investors. Each warrant is convertible into one equity share within six months from the date of allotment.
Additionally, Apollo Micro Systems Ltd (AMS) has received an order worth Rs 6.14 crore from the Defence Research and Development Organisation (DRDO).
About the Company
Established in 1985, Apollo Micro Systems is at the forefront of creating, constructing, and validating crucial electronics and electro-mechanical solutions for sectors such as aerospace, defence, and space. The company is renowned for its commitment to research and development, resulting in notable projects such as torpedo-homing systems and underwater mines.
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According to Quarterly Results, total income increased by 85 per cent to Rs 161.30 crore and profit after tax (PAT) increased by 140 per cent to Rs 15.73 crore in Q2FY25 compared to Q2FY24 while in its half-yearly results, the net sales increased by 74 per cent to Rs 253.09 crore and profit after tax (PAT) increased by 194 per cent to Rs 24.16 crore in H1FY25 compared to H1FY24. In its annual results, the net sales increased by 24.91 per cent to Rs 371.63 crore and profit after tax (PAT) increased by 66.01 per cent to Rs 31.11 crore in FY24 compared to FY23.
The company falls under the BSE Small-Cap Index with a market cap of over Rs 3,700 crore. In September 2024, DIIs took a fresh entry and bought 26,66,500 shares or 0.87 per cent stake in the company. The stock gave multibagger returns of 635 per cent in just 3 years and a whopping 1,500 per cent in 5 years. Investors should keep an eye on this aerospace & defence stock.
Disclaimer: The article is for informational purposes only and not investment advice.