Why Paras Defence Shares Zoomed 10%?

On January 7, 2024, Paras Defence shares rose as much as 10%, reaching a day high of ₹1,066.50 at 10:05 AM after opening at ₹960.65. The substantial gain in Paras Defence share price came after the company announced that it had been granted a license by the Department for Promotion of Industry & Internal Trade (DPIIT) for the manufacturing of Light Machine Guns.

Scope of New Licence

This license authorises Paras Defence to manufacture the MK-46 and MK-48, belt-fed Light Machine Guns (LMG), which a modernised, enhanced and refined weapons, with a proposed annual capacity of 6,000 guns each. The license has been granted to Paras Defence under the Arms Act, of 1959. The license has a lifetime validity.

Paras Defence Latest Business Updates

• Paras Defence & Space Technologies has recently inaugurated its cutting-edge optical systems testing facility in Navi Mumbai. According to the company, this facility will serve as the most advanced hub for the research and development of hyperspectral and other optical systems for the Space and Defence sectors in India. With potential application areas ranging from earth observation to automobiles to homeland security to navigation and telecommunications, hyperspectral optical systems are the future of commercial space.

• The company has previously received an order of ₹61.43 crore from the Instruments Research and Development Establishment (IRDE) for the Upgrade of Optronic Periscope Sight with Accessories, including ESM Warner, for Indian Naval Submarine Application.

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