Apollo Micro Systems Limited, a defence and aerospace technology company, said it has signed a memorandum of understanding (MoU) with the Government of Telangana to set up a greenfield defence manufacturing project in the state. The company said the MoU was signed on 8 December 2025 in Hyderabad and that the proposed project entails an estimated investment of approximately INR 15 billion to expand manufacturing and explosive filling capabilities.
The company said in a stock exchange filing that the project will focus on the production and filling of warheads for missiles, rocket motors, small, medium and large calibre artillery systems, and ammunition, and on building complete ammunition systems for artilleries, rockets and other armaments to serve both domestic and overseas demand. The filing added that the Government of Telangana will facilitate the company in obtaining necessary permissions, registrations, approvals, clearances and applicable fiscal incentives from relevant state departments under existing policies.
A press release attached to the filing stated that the investment would be made by Apollo Micro Systems and its group companies and described the initiative as aimed at substantially expanding production capabilities and deepening the group’s portfolio of indigenous defence technologies. The release noted that the new facility will create synergies with IDL Explosives Ltd and enable captive supply of explosives for artillery shells, moored mines, MIGM and Grad rockets, among other applications.
“Our greenfield defence manufacturing project represents a powerful and transformational step forward significantly elevating our scale, technological capability, and strategic relevance to the nation. This expansion positions Apollo Micro Systems (AMS) to fully capitalize on the surging demand within India’s defence sector, accelerate our growth trajectory, and further solidify our leadership in the indigenous defence ecosystem,” said Karunakar Reddy, Managing Director of Apollo Micro Systems Limited.
Apollo Micro Systems Limited is a 40-year-old company that designs, develops and manufactures electronic, electro-mechanical and engineering systems for defence and aerospace applications.
