Shipbuilder Garden Reach (GRSE) and electro-mechanical solutions company Apollo Micro Systems have joined hands for research, co-production and export of underwater weapons and vehicles, underwater mines as well as communication systems, a company statement said on January 29.
The business partnership is for five years and will involve developing Air Defence Systems, advanced weapons and electronic systems for defence as well as non-defence industries.
"A key aspect of this partnership is leveraging and enhancing the manufacturing infrastructure of both companies to produce critical components and sub-assemblies for these systems," said a statement by Apollo Micro Systems. The collaboration will also help modernize and upgrade the existing systems.
Apollo Micro said the partnership will cater to the growing demands of the Defence and Aerospace markets, both domestically and internationally. The MoU will help both companies leverage strengths to address the global demand for such equipment.
Apollo Micro has in the past partnered with Bharat Dynamics (BDL) to jointly develop naval platforms and has been a partner with DRDO, ISRO, BEL, HAL among others.
It has also entered into the radio frequency and microwave design segment through acquisition, and is planning two additional units at a proposed capex of Rs 250 crore. A weapon integration facility will also be inaugurated by end of 2025.
India is poised to be a defence market offering $90-100 billion worth of opportunities over next 5-6 years. The country has a significant defence budget of $ 74.5 billion (Rs 6.21 lakh crore) for FY25.
Shares of Garden Reach are higher by 70% in last one year, while Apollo Micro Systems' shares are up 7% in last one year.
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