Mumbai, June 2, 2025 — In a major push towards defense self-reliance and vertical integration, Apollo Defence Industries Pvt. Ltd., a subsidiary of Apollo Micro Systems Ltd., has announced the 100% acquisition of IDL Explosives Ltd., part of the Hinduja Group, in an all-cash deal worth ₹107 crore.

The acquisition is seen as a game-changing move, aligning with India’s “Aatmanirbhar Bharat” initiative and Apollo’s strategic roadmap to emerge as a Tier-I Original Equipment Manufacturer (OEM) in the defence and weapons systems space.

💼 Deal Details

• Acquirer: Apollo Defence Industries Pvt. Ltd.

• Target: IDL Explosives Ltd.

• Deal Type: All-cash transaction

• Deal Size: ₹107 crore

• Shares Acquired: 78.65 lakh equity shares at ₹136.04 each

• Ownership Post-Deal: 100% stake in IDL Explosives

IDL Explosives, India’s first and one of the most established explosive manufacturers, is known for its comprehensive range of cartridge and bulk explosives, primarily used in mining and infrastructure projects.

In FY24, IDL Explosives reported a turnover of ₹623 crore and a net worth of ₹10 crore, demonstrating strong growth from ₹395.38 crore in FY22.

🔥 Strategic Significance: Vertical Integration in Defence

With this acquisition, Apollo Defence gains vital capabilities in explosive manufacturing, which will now complement its strengths in defense electronics, sensors, arming systems, and platforms. This integration enables Apollo to offer end-to-end weapon system solutions across:

• Artillery systems

• Missile platforms

• High-impact explosive payloads

• Electronic arming and detonation systems

🗣️ Leadership Statement

B Karunakar Reddy, Managing Director of Apollo Micro Systems Ltd., called the acquisition a “landmark alignment”:

“Apollo Group is proud to join hands with India’s pioneering explosives firm, adding over six decades of legacy to our growing defense capabilities. This acquisition paves the way for vertical integration and enables us to offer complete lifecycle support across the entire munitions ecosystem. Together, we are building the next chapter of India’s defense self-reliance.”

📊 Explosives Market Outlook: A Booming Opportunity

The global explosives market is projected to grow at a CAGR of 8.8%, reaching $9.37 billion by 2029. With rising defense expenditures in countries like India, USA, China, Russia, UK, and France, the demand for advanced munitions and integrated explosive systems is expected to surge.

Apollo’s acquisition positions the company strategically to tap into this explosive growth, not only in India but across emerging global defense markets.

🧨 About IDL Explosives Ltd.

IDL Explosives has been a trusted supplier for over 64 years, known for:

• Packaged & bulk explosives

• Advanced mining charges

• Cartridge explosives for infrastructure projects

• Engineering excellence in detonation systems

Previously part of the Hinduja Group, IDL brings manufacturing expertise, existing market share, and legacy operational infrastructure to the Apollo Defence fold.