Apollo Micro Systems Hits 5% Upper Circuit

Apollo Micro Systems' shares have soared to a 5% upper circuit after the company received a major approval from the Defence Research and Development Organisation (DRDO). This approval is for the transfer of technology related to directed energy weapon systems, which is a significant development for the company.

What Does This Mean for Investors?

The share price of Apollo Micro Systems advanced to Rs 249.80 per share on the NSE, up 4.98%. This increase is a direct result of the company receiving two approvals for the transfer of technology (ToT) for laser-based directed energy weapon (DEW) systems and electro-optical (EO) tracking systems for DEW.

Details of the Approval

The first approval is for the transfer of technology for a multi-channel 10 kW laser directed energy weapon system from DRDO's Centre for High Energy Systems and Sciences (CHESS), Hyderabad. The second approval is for the transfer of technology for an EO tracking system with EO sensors for DEW from DRDO's Instruments Research and Development Establishment (IRDE), Dehradun.

Implications of the Approval

These approvals will strengthen Apollo Micro Systems' capabilities in DEW sub-systems, including laser-based engagement systems and electro-optical tracking solutions. This development is aligned with the government's defence indigenisation efforts, which aim to promote the development of indigenous defence technologies.

What are Directed Energy Weapon Systems?

Directed energy weapon systems use high-powered lasers to damage or destroy targets by directed energy rather than kinetic force. These systems are used for precision engagement of threats such as unmanned aerial vehicles, missiles, and small vehicles.

Remember, this is a significant development for Apollo Micro Systems and the defence industry as a whole. However, it's essential to do your own research and consider your investment goals before making any decisions.