Why Apollo Micro Systems' Share Price is Falling

# Fundraising Plan

Shares of Apollo Micro Systems fell more than 5% on Tuesday, continuing the drop seen in the previous trading session. The main reason for this decline seems to be investors taking profits after the stock had a strong rally recently.

The decline came after the company announced a significant fundraising plan of up to Rs 33.22 billion (bn) through a special issue of equity shares and convertible warrants.

Under the plan, Apollo Micro Systems will issue up to 22.8 m equity shares to 55 investors at Rs 416.60 per share, raising about Rs 9.51 bn.

The company will also issue up to 56.9 m convertible warrants to 93 investors at a price of Rs 416 per warrant. This could help raise an additional Rs 23.71 bn.

The fundraising announcement prompted some shareholders to take profits, leading to selling pressure on the stock.

What's Next for Apollo Micro Systems?

Moving forward, Apollo Micro Systems has partnered with the DRDO on over 150 indigenous defence programs. The growth catalyst now is the maturation of these programs. Management expects a significant increase in large-ticket mass-production orders starting in FY27.

AMS is also diversifying into the land-based defence sector. To this end, it is expanding into armament electronics and fire control systems for battle tanks and infantry combat vehicles.

The company is also evolving beyond a niche electronics supplier into a broader defence manufacturing company through the acquisition of IDL Explosives and expansion into ammunition and explosives. This could significantly increase its addressable market over the next few years.

How Apollo Micro Systems' Share Price Has Performed Recently

Apollo Micro Systems shares have declined 3.6% in the past five trading sessions.

Over the past year, the shares have been up 117.6%.

The stock touched its 52-week high of Rs 466.70 on 3 July 2026 and its 52-week low of Rs 162.25 on 28 July 2025.

About Apollo Micro Systems

Apollo Micro Systems is engaged in the design, development, and assembly of custom-built electronics and electro-mechanical solutions.

The company offers solutions based on state-of-the-art technologies for aerospace and defence. It also caters to the railways, automotive, and homeland security markets.

The wide spectrum of technological solutions and end-to-end design, assembly & testing capabilities gives it an edge.

The company's in-house R&D centre is CEMILAC certified to develop airworthiness systems.

To know more, check out Apollo Micro Systems fact sheet and latest quarterly results.

You can also compare Apollo Micro Systems with its peers on our website.

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Happy Investing.

Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions.

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