Drone Deal With Indian Army Lifts This Murugappa Group Stock

Dhaksha Unmanned Systems, an India-based drone manufacturer and a subsidiary of Coromandel International, has secured a large contract with the Indian Army for the supply of 200 medium-altitude logistics drones and accessories.

What Happened: The combined value of Dhaksha’s contracts has already exceeded ₹165 crore for the current fiscal year, Coromandel said in a statement. This comes on the heels of Dhaksha’s recent contract win with agri inputs cooperative IFFCO, where the company will deliver 400 agri-spraying drones over the next year.

Coromandel International is part of the Chennai-based Murugappa conglomerate.

“The defence contract validates Dhaksha's technology capability and its potential to capture opportunities in Unmanned Aerial Systems (UAS) space. This enables entry of Coromandel and Murugappa Group into Indian Defence sector supplies,” Arun Alagappan, executive vice chairman of Coromandel International, said in a statement.

Price Action: Coromandel International’s share price shot up 0.42% to ₹1,047.05 in afternoon trade on Monday following the news, after spending most of the session in the red.

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Posted In: EquitiesGovernmentMarketsMoversTrading IdeasCoromandel InternationalDhaksha Unmanned SystemsMurugappa