Shares of Paras Defence and Space Technologies Ltd., rallied nearly 12% on Wednesday after the company announced a tie-up with Green Optics Co. of South Korea for optical systems for space and defence applications.
Green Optics is involved in the design and manufacturing of optics and optical systems for space, defence and other applications. It processes aspheric lenses, beam splitters, optical prisms, spherical lenses, polrizers, optical fibres, and other products.
The two companies intend to establish a framework for joint development, manufacturing, business development in optical systems.
Navi Mumbai-headquartered Paras Defence operates in the defence optics and space technology segment. The company has R&D facilities in Bengaluru and manufacturing operations in Ambernath, Thane.
Paras Defence Share Price
Paras Defence share price surged as much as 11.8% to Rs 750 after the announcement, compared to a 1.8% decline in the benchmark Nifty 50 and was the top performer in the Nifty Defence index. The stock has risen 67% in the last 12 months.
The total traded volume so far in the day stood at 28 times its 30-day average. The relative strength index was at 70, indicating the stock is in the overbought zone.
The two analysts tracking the company have a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analyst price targets is Rs 920, which implies a potential upside of 26%.
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