Paras Defence Unit To Sell Anti-Drone Systems To French Firm

Paras Anti-Drone Technologies Pvt., a subsidiary of Paras Defence and Space Technologies Ltd., has received an order worth Rs 22.21 crore from French anti-drone solutions company Cerbair.

The order is for 30 units of 'CHIMERA 200'. CHIMERA 200 is the first line of defence against drone and swarm threats.

Cerbair issued a Letter of Intent to purchase 30 units of CHIMERA 200 from Paras Anti-Drone, valued at approximately 2.2 million euros (aproximately Rs 22.21 crore), an exchange filing stated.

Meanwhile, the parent company, Paras Defence and Space Technologies will have a stock split, with shares of face value Rs 10 being split into shares of face value Rs 5. The ex date for the split is July 4. The last day to purchase shares and be eligible is Tuesday, July 3.

This is the first-ever stock split by Paras Defence. The defence engineering firm has declared a 1:2 stock split in April, as well as its first-ever dividend of Rs 0.50 per share during its fourth quarter earnings.

A stock split is a corporate action where a company increases the number of outstanding shares by reducing the face value per share. This typically enhances liquidity as the stock price adjusts accordingly. While the number of shares increases, the total investment value remains unchanged.

To be eligible for a stock split, investors must hold shares as of the record date announced by the company. The record date determines who will receive additional shares post-split, based on the ratio.

The scrip rose as much as 2.35% to Rs 1,635 apiece, the highest level since Monday. It pared gains to trade 1.74% higher at Rs 1,626 apiece, as of 3:00 p.m. This compares to a 0.09% advance in the NSE Nifty 50.

It has risen 61.31% on a year-to-date basis, and is up 13.44% in the last 12 months. The relative strength index was at 47.40.

The only analyst tracking the company recommends buying its shares, according to Bloomberg data.