Apollo Micro Systems Ltd (AMS), an Indian defence electronics and systems company, said the Competition Commission of India (CCI) has held that its acquisition of Premier Explosives Ltd does not constitute a combination under the Competition Act, 2002.
The CCI has therefore concluded that the transaction does not require its approval. AMS had voluntarily filed a notice with the regulator on August 11, 2026, as a measure of abundant caution.
CCI disposes of notice
The notice related to AMS’s proposed acquisition of a 41.33% stake in Premier Explosives under a Share Purchase Agreement signed on July 9, 2026.
After reviewing the company’s submissions, the CCI concluded that Premier’s turnover falls below the thresholds prescribed under both the Deal Value Threshold framework and the de minimis exemption.
The regulator has accordingly treated the notice as not required and disposed of the matter.
Open offer to move forward
With the CCI position settled, Apollo Micro Systems will proceed with the open offer to the public shareholders of Premier Explosives under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.
The revised schedule of offer activities, including the tendering period, will be announced by the Manager to the Open Offer in due course.
Management comment
“We approached the Commission proactively because we believe that every step of this acquisition should be beyond question from a regulatory standpoint. The Commission’s order brings clarity and allows us to proceed with the open offer,” Apollo Micro Systems Managing Director I.B. Karunakar Reddy, said.
“Premier’s acquisition together with IDL Explosives Limited will strengthen the Apollo Group’s position as an integrated, indigenous defence platform aligned with the Government of India’s Aatmanirbhar Bharat vision,” he said.
Company background
Premier Explosives, headquartered in Hyderabad, manufactures high-energy materials, including solid propellants, explosives and pyrotechnic devices, for defence, space and mining applications.
The company also contributes to several of India’s strategic missile and space programmes.