Apollo Micro Systems Limited has received a significant boost to its defence manufacturing ambitions after being granted an arms manufacturing licence by the Government of India, allowing it to produce a wide range of high-value weapon systems and munitions.

According to the company’s exchange filing, the licence has been issued by the Department for Promotion of Industry and Internal Trade (DPIIT) under the Ministry of Commerce & Industry, with a lifetime validity, marking a major strategic milestone for the Hyderabad-based defence technology firm  .

The licence authorises Apollo Micro Systems to manufacture, assemble, integrate and proof-test advanced weapon systems including missiles, anti-tank guided missiles (ATGMs), torpedoes, underwater mines, aerial bombs, rockets and loitering munitions. These fall under arms of calibre above 12.7 mm across multiple defence categories  .

This development significantly expands the company’s scope, transitioning it from a provider of defence electronics and subsystems to a full-fledged end-to-end weapon systems manufacturer. The company highlighted that the licence enables entry into high-value strategic defence manufacturing, potentially transforming its revenue profile and positioning in the sector  .

Manufacturing activities under the licence will be carried out at Apollo Micro Systems’ existing facilities in Hyderabad, including its units in Hardware Park Phase-II and IDA Mallapur. The company also plans to leverage the capabilities of its step-down subsidiary, IDL Explosives Limited, which brings expertise in explosives, propellants, detonators and pyrotechnics—critical components for weapon systems integration.

Management noted that the combination of Apollo’s electronics and system integration strengths with IDL’s energetics capabilities could enable the development of complete defence platforms, supporting both domestic requirements and export opportunities.

The licence, issued under the Arms Act, 1959, also allows an annual production capacity of up to 1,000 units per category, further underlining the scale of opportunity for the company in India’s growing defence manufacturing ecosystem  .

Apollo Micro Systems, a Tier-I supplier to organisations such as DRDO, HAL and BEL, sees this as a key step towards strengthening its role in India’s self-reliance push in defence manufacturing.