Apollo Micro Systems shares fell to a day’s low of ₹377.25 on the NSE, even after landing a key IAF empanelment for precision weapons.

The company said it has been empanelled by the IAF as the Prime Development Agency for a programme called IPREK, short for the Indigenous Precision Range Extension Kit.

This marks Apollo’s first entry into India’s precision guided weapons segment, a space that has historically leaned heavily on imports.

Here’s what the programme actually involves. IPREK is essentially a guidance kit that can be fitted onto the IAF’s existing stock of 500 kilogram unguided bombs, turning them into long range precision glide weapons.

Once equipped, these bombs can be released from 80 to 100 kilometres away and still strike within 3 metres of the target, letting fighter aircraft stay well outside the range of most air defence systems.

The kit uses India’s own NavIC satellite navigation system along with electro-optical and infrared guidance, so it can keep working even in situations where GPS signals are jammed or unavailable.

It’s worth being clear about what this announcement is not. This is an empanelment, not a confirmed order.

Apollo will only start earning revenue from this programme once it receives a formal Project Sanction Order followed by an actual procurement contract, both of which depend on successful prototype development and trials.

The company expects the eventual order size to cover more than 500 units. This isn’t Apollo’s only recent defence win either.

Just days earlier, the Indian Navy handed the company a Prototype Sanction Order to build SAVIOR-ASW, an autonomous semi-submersible vessel meant for underwater surveillance and anti-submarine warfare.

The stock has still had a strong run this year despite today’s dip, up more than 37% year to date and over 100% across the past twelve months.

On Tuesday, the stock closed at ₹378.75 on the NSE, down 3.61% for the session.

Feeling overwhelmed by the markets? Let Tradz by EquityPandit be your guide. Our user-friendly app simplifies complex data and provides actionable trading signals. Download the app today and trade with confidence!