Defence technology firm Apollo Micro Systems will acquire a 41.33% stake in Premier Explosives for approximately ₹1,550 crore, as per a share purchase agreement signed on Thursday.
Premier Explosives, also based in Hyderabad, is a manufacturer of high energy materials used in defence, aerospace and mining.
Apollo Micro is also making a mandatory open offer for an additional up to 26% stake from public shareholders. The offer price is set at ₹698 per share, valuing the open offer at about ₹975.65 crore.
The combined deal would give Apollo Micro majority control in Premier Explosives, pending approvals.
The acquisition strengthens Apollo Micro’s portfolio in strategic defence materials and aligns with India’s push for indigenisation in the defence supply chain.
Premier Explosives’ products include bulk and cartridge explosives, propellants and detonators. The company serves both domestic and export markets.
The transaction is subject to regulatory and other customary approvals.
