Shares of Hyderabad-based Apollo Micro Systems Ltd (AMSL) rose on Friday after the company said its step-down subsidiary has secured an industrial licence for manufacturing defence explosives.
At around 12.45 pm, the stock was trading at Rs 236.35 apiece on the NSE, up 4.28 percent.
The buying interest followed an announcement that IDL Explosives, a step-down subsidiary of Apollo Micro Systems, has obtained an industrial licence for manufacturing HMX Cyclotetramethylenetetranitramine with a capacity of 50 metric tonnes per annum and Trinitrotoluene (TNT) with a capacity of 500 metric tonnes per annum.
The licence will be valid for 15 years, the company said in a regulatory filing.
Commenting on the development, Managing Director Karunakar Reddy said the approval marks the company’s entry into specialised defence explosives manufacturing.
"This milestone marks a timely and strategic entry into specialised defence explosives, positioning IDL Explosives as a domestic supplier of high-energy materials, supporting India’s Atmanirbhar Bharat initiative, and creating potential opportunities in the export market," Reddy said.
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