Apollo Micro Systems Ltd Approved Shares & Warrants Allotment: A Significant Milestone for the Company
Apollo Micro Systems Ltd, a leading player in the defense sector, has recently received in-principle approvals from the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) for a significant preferential allotment. This development is a significant milestone for the company, which is seeking to expand its operations and strengthen its financial position.
As per the allotment, Apollo Micro Systems Ltd will issue 270.43 lakh equity shares at a price of ₹114 each, totaling ₹308.29 crore, to 53 non-promoter investors. Additionally, the company has allotted 380.67 lakh convertible equity warrants at a price of ₹114 each, amounting to ₹108.49 crore, to 30 investors, including both promoters and non-promoters.
The preferential allotment is a significant step forward for Apollo Micro Systems Ltd, which is looking to raise capital to fuel its growth plans. The company has been expanding its operations in recent years, and the additional capital will help it to further scale up its business and increase its market share.
The defense sector has been witnessing significant growth in recent years, driven by increasing government spending on defense and security. Apollo Micro Systems Ltd is well-positioned to benefit from this trend, with its range of products and services catering to the needs of the defense and aerospace industries.
The company’s products and services include a range of electronic systems, such as radar systems, communication systems, and electronic warfare systems. Its products are designed to meet the specific requirements of the defense and aerospace industries, and are used by various government agencies and private companies around the world.
Apollo Micro Systems Ltd has a strong track record of growth and profitability, with its revenue growing at a compound annual growth rate (CAGR) of over 20% in the past few years. The company’s net profit has also been growing steadily, with its net profit margin expanding from around 10% in 2018 to over 15% in 2020.
The preferential allotment is expected to have a positive impact on Apollo Micro Systems Ltd’s financial performance, as the additional capital will help the company to further expand its operations and increase its revenue. The company’s share price has been on an upward trend in recent months, and the allotment is likely to continue this trend, providing investors with attractive returns.
In conclusion, the preferential allotment of shares and warrants by Apollo Micro Systems Ltd is a significant development for the company, which is seeking to expand its operations and strengthen its financial position. The company’s products and services are well-positioned to benefit from the growing demand for defense and aerospace products, and its strong track record of growth and profitability makes it an attractive investment opportunity.
