GOCL Corporation Limited announced that it has successfully concluded the sale of its wholly- owned subsidiary, IDL Explosives Ltd, to Apollo Defence Industries (a subsidiary of Apollo Micro Systems). The transaction, approved earlier this year by GOCL’s shareholders, formally completes the Hinduja Group’s strategic exit from its explosives and detonators business.
IDL Explosives, which operates manufacturing facilities in Rourkela and other locations, will now be under the umbrella of Apollo Defence. Apollo has articulated plans to expand and strengthen the explosives business in alignment with its broader ambitions in India’s rapidly-growing defence sector.
According to GOCL’s filings, the divestment deal was valued at ₹107 crore, paid in an all-cash transaction. Under the terms of the agreement, Apollo acquired 78.65 lakh equity shares at ₹136.04 per share. The deal also addressed GOCL’s existing exposure: as part of the transaction, IDL Explosives will repay inter-corporate loans of about ₹93 crore owed to GOCL.
Last year, GOCL had already ceased operations at its Hyderabad explosives plant, citing a misalignment of business operations with the city’s evolving metropolitan character. With the completion of this divestment, the company retains a significant real estate footprint across India and expects to further monetize its Hyderabad land assets in the near term.