Transaction Overview

Apollo Micro Systems Ltd has entered into a definitive share purchase agreement to acquire promoter shares representing 41.33% of Premier Explosives Limited for approximately ₹1550 crores in an all-cash deal. The transaction is subject to customary closing adjustments.

Transaction Timeline and Conditions

The acquisition is expected to close in the Third Quarter/December 2026, subject to:

  • Customary closing conditions
  • Regulatory approvals
  • Shareholder approval

Post-Acquisition Structure

Following completion of the transaction, Premier Explosives Limited will come under the umbrella of Apollo Micro Systems Ltd but will continue to operate under its existing brand with scaled performance.

Strategic Rationale

The transaction combines complementary capabilities in defence systems and energetic materials, enabling:

  • Operational efficiencies
  • Enhanced R&D capabilities
  • Broader participation in defence and space-related programmes

Management Commentary

Mr Baddam Karunakar Reddy (Managing Director), Apollo Micro Systems Ltd stated: "This acquisition strengthens our nation's defence manufacturing capability and deepens our sovereign expertise in energetic materials and space programmes. Together, we are better positioned to safeguard national security interests and support our armed forces with greater scale, resilience, and technological self-reliance."

Dr A N Gupta (Founder & Chairman), Premier Explosives Limited commented: "Premier Explosives has built a distinguished legacy over the decades, and I am confident that, together, we can unlock new opportunities for innovation, technological excellence, and sustainable growth. The decision to bring Premier Explosives into the Apollo Micro Systems family reflects our shared vision of building a stronger, more integrated indigenous defence and aerospace ecosystem."

Shonika Prasad (Trustee & Promoter) on behalf of AKS Family Trust stated: "This transaction marks an important milestone for Premier Explosives and the AKS Family Trust. We are proud of the strong legacy built under Dr. A. N. Gupta's leadership and believe Apollo Micro Systems is well positioned to lead the company's next phase of growth."

Company Background

Apollo Micro Systems Ltd is a 41-year-old pioneer in defence technology specializing in design, development, and manufacturing of advanced electronic, electro-mechanical, and engineering systems. The company positions itself as a Tier-I Original Equipment Design Cum manufacturer.

Premier Explosives Ltd is engaged in the business of High Energy Materials, rocket motors for defence & aerospace, countermeasures and munitions. It is a leading manufacturer of high energy materials for defence, aerospace and mining sectors. The company also undertakes operation and maintenance (O&M) services of solid propellant plants at the Sriharikota Centre of ISRO and Solid Fuel Complex at Jagdalpur.

Advisors

  • Apollo Micro Systems Ltd was advised by Crawford Bayley & Co as legal counsel
  • AKS Family Trust (Promoters) was advised by Deloitte Touche Tohmatsu India as exclusive Transaction advisor and Pioneer Legal as legal counsel

Forward-Looking Statements

The press release contains forward-looking statements based on current expectations and assumptions, with actual results potentially differing due to changes in government policy, market conditions, regulatory requirements or other factors. Both companies undertake no obligation to update any forward-looking statements.