Astra Microwave Products Limited Approves Scheme for Demerger of Space and Meteorology Business

Astra Microwave Products Limited Approves Scheme for Demerger of Space and Meteorology Business​

Astra Microwave Products Limited (AMPL) has approved a significant Scheme of Arrangement involving the demerger of its Space, Meteorology, and Hydrology business into a separate entity. The decision was made by the Board of Directors at a meeting held on June 10, 2026.

The scheme entails transferring all business, undertakings, activities, and properties related to the Space, Meteorology, and Hydrology Business from AMPL (the Demerged Company) to Astra Space Technologies Private Limited (ASTPL), which is a wholly owned subsidiary of AMPL (the Resulting Company). This transfer will be conducted on a going concern basis.

The demerger aims at strategic re-alignment for the company's diverse portfolio. Currently, the company operates in design and manufacture of sub-systems for Radio Frequency and microwave systems across defense, space, meteorology, and telecommunication sectors. The proposed split is intended to create two focused listed entities: one dedicated to Radar Electronics, Electronic Warfare, and Telemetry, and the other focused on Space, Meteorology, and Hydrology.

The company has determined that the distinct industry characteristics, competitive dynamics, regulatory environment, and risk profile of the Space, Meteorology, and Hydrology business necessitate a differentiated growth strategy. A standalone entity is expected to be better positioned to attract specialized investors, strategic partners, and lenders.

Transaction Details and Financial Scope​

The Space, Meteorology, and Hydrology Business—referred to as the Demerged Undertaking—generated approximate turnover of INR 157 Crores for the financial year ending March 31, 2026. This figure represented 13.58% of the total turnover of AMPL for the same period.

The transaction structure dictates that ASTPL will issue shares to AMPL shareholders based on a determined share ratio. There is no cash consideration being discharged under the Scheme. The share exchange ratio involves issuing one fully paid-up equity share of INR 2 (Indian Rupees 2/- only) in the Resulting Company for every one fully paid-up equity share of INR 2 (Indian Rupees 2/- only) held in AMPL.

The key details regarding the proposed demerger and transaction mechanics are summarized below:

Impact on Shareholding Pattern​

The demerger results in a change in the shareholding pattern across the involved entities:


All new shares of ASTPL will be listed and admitted for trading on the NSE and BSE, subject to receiving necessary approvals from the Stock Exchanges. The entire pre scheme paid up share capital of ASTPL shall stand cancelled and reduced upon the effectiveness of the Scheme.

The Scheme is contingent upon obtaining approval from the National Company Law Tribunal, the Securities and Exchange Board of India (SEBI), BSE Limited, NSE Limited, and other requisite regulatory authorities.

ASTRAMICRO Stock Price Movement​

Shares of Astra Microwave Products Limited are shedding value, dipping by 0.32% as of 12:58 PM in live trading, currently tracking down to ₹1453. Despite this recent movement, the stock maintains strong footing after achieving a landmark performance that touched its 52-week high, with substantial volume registering at 477,489 shares today.