India’s Apollo Micro Systems has successfully completed its preferential allotment of equity shares and convertible warrants, raising over AUD75 million. An additional AUD58.7 million crore as 75% balance proceeds of the convertible equity warrants to come into the company within six months.
This capital infusion demonstrates robust investor confidence and includes meaningful participation from the promoter group, LIC Mutual Fund, and Non-Executive Director Aditya Kumar Halwasiya.
Apollo Micro Systems designs, develops, and integrates electronic and electromechanical solutions catering to aerospace, defence, and homeland security domains.
As part of the preferential issue:
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The promoter group has subscribed to 1,68,01,200 convertible equity warrants at an issue price of AUD2.06 each. These warrants, allotted equally between Baddam Kanishka Reddy and Baddam Chanakya Reddy, reaffirm the promoter family’s strong commitment to the company’s long-term growth and value creation.
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Aditya Kumar Halwasiya, a non-executive director, has also made a substantial investment. He was allotted 15,00,000 equity shares and an additional 15,00,000 convertible equity warrants, reinforcing his strategic involvement and alignment with shareholder interests.
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LIC Mutual Fund, one of India’s most respected institutional investors, participated with an allotment of 26,31,578 equity shares, adding further credibility and validation to Apollo’s business outlook.
The preferential issue involved 2,70,42,894 equity shares allotted at AUD2.06 each, aggregating to AUD55.6 million, and 3,80,67,058 convertible equity warrants issued at the same price, with 25% upfront subscription, aggregating to AUD19.6 million in initial proceeds.
The capital raised will be deployed towards growth initiatives, working capital requirements, and strengthening the company’s innovation capabilities in high-tech and mission-critical solutions.
