Apollo Micro Systems shares jump 4% on bagging an order from Indian Navy; check details

Apollo Micro Systems shares surged as much as 4% to touch an intraday high of ₹406 apiece on Wednesday, July 22, after the defence firm bagged an order from the Indian Navy for a semi-submersible autonomous vessel.

“Apollo Micro Systems Limited has been shortlisted and awarded a Make-II Prototype Sanction Order (PSO) by the Indian Navy, in recognition of the Company's established capabilities in indigenous Naval Maritime Electronic Warfare,” the defence firm said in a regulatory filing.

Apollo Micro Systems stated that under the Make-II category, there is no cost obligation on the government during the prototype development phase and added that the government is committed to procurement upon successful demonstration of the prototype.

The project involves the design, development, and prototype demonstration of the Semi-Submersible Autonomous Vessel for Intelligence, Operations and Reconnaissance (SAVIOR-ASW) under the Make-II category, the company said.

SAVIOR-ASW is an unmanned, semi-submersible maritime platform designed for persistent anti-submarine warfare (ASW) surveillance, capable of autonomous operations for extended durations using advanced acoustic sensors, AI/ML-based target classification, and encrypted multi-channel communication systems.

This award marks Apollo Micro Systems' formal entry into the domain of autonomous maritime and underwater warfare systems and stands as one of the most significant indigenous defence technology milestones in the company's history.

“The technologies being developed under this programme are state-of-the-art, highly futuristic, and fully aligned with the Government of India's Atmanirbhar Bharat initiative for self-reliance in defence manufacturing,” Apollo Micro Systems said.

What is Make II PSO?

The Make-II category is one of the most progressive defence procurement pathways under the Defence Acquisition Procedure (DAP). Indian companies are invited to develop fully funded indigenous prototypes of advanced military systems, with the government committing to procure successful prototypes at scale.

A prototype sanction order is the formal green light to begin this development, backed by the full procurement intent from the Indian Navy.

For Apollo Micro Systems, this PSO is more than a contract.

Management commentary

“We have spent years building deep capability in indigenous defence electronics and mission-critical systems. The SAVIOR-ASW programme is the culmination of that journey a statement of our conviction that India must own the technologies that protect its maritime boundaries,” said Baddam Karunakar Reddy, Managing Director at Apollo Micro Systems.

“At Apollo, we firmly believe the next frontier of warfare will be autonomous, intelligent, and networked and we are committed to ensuring India leads that transformation from the front. We have been contributing on underwater Warfare systems through DRDO Programmes and I take this platform as an opportunity to thank DRDO for giving us the knowledge and spirit to aspire to build such complex systems,” added Reddy.

At 1:30 PM, Apollo Micro Systems shares were trading at ₹400.30 apiece on the National Stock Exchange, gaining 2.5%.