AMAstra Microwave Products532493Demerger announcement

BSE 'no adverse observations', NSE 'no objection' for demerger scheme

Astra Microwave Products has received observation letters from both exchanges on its proposed demerger.

By ScoutQuest · Thu 29 Oct 2026, 4:39 PM IST · 3 min read

Observation Letter Date

29 October 2026

Exchange Observations

BSE: 'no adverse observations'; NSE: 'no objection'

BSE Letter Validity

six months from the date of the letter

What was announced

Astra Microwave Products Ltd (AMPL, the Demerged Company) has received observation letters from BSE Limited and the National Stock Exchange of India Limited, both dated 29 October 2026, on the proposed Scheme of Arrangement with Astra Space Technologies Private Limited (ASTPL, the Resulting Company).

The scheme itself

The scheme is a demerger of AMPL's Space, Meteorology and Hydrology business into ASTPL. It is framed under Sections 230 to 232 and other applicable provisions of the Companies Act, 2013, and covers the two companies and their respective shareholders.

What the exchanges said

• BSE issued an observation letter with "no adverse observations", with limited reference to matters having a bearing on listing, de-listing and continuous listing requirements.
• NSE issued an observation letter with "no objection".
• Both letters are dated 29 October 2026.

What still has to happen

• The scheme remains subject to applicable regulatory and other approvals.
• A petition is to be shared before the National Company Law Tribunal (NCLT) after SEBI has given its comments on the draft scheme, and SEBI's and the exchanges' observations are to be brought before the NCLT.
• The BSE observation letter is valid for six months from the date of the letter, and the scheme is to be submitted to the NCLT within that period.
• The exchange has asked that Clause 11.2 of the draft scheme, dealing with compliance with Regulation 23 of the LODR Regulations, be omitted.

Conditions linked to the resulting company's listing

• Listing of ASTPL's equity shares is subject to SEBI granting relaxation under Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, to SEBI approval and to the company meeting the exchange's listing criteria; the listing is at the discretion of the exchange.
• ASTPL is to submit an Information Memorandum to BSE and publish a newspaper advertisement with its details.
• Shares allotted under the scheme are to remain frozen in the depository system until listing/trading permission is given by the designated stock exchange.
• There should be no change in ASTPL's shareholding pattern between the record date and the listing.
• Equity shares proposed to be issued under the scheme must be in demat form only.

What shareholders will see before voting

Under Sections 230 to 232, the explanatory statement or notice sent to shareholders is to carry, among other things:

• the need for and rationale of the scheme, business synergies and a cost-benefit analysis;
• a detailed explanation of the impact on shareholders, including any dilution or change in rights, and the impact on the revenue generating capacity of the listed entity;
• valuation details, including the registered valuer, the merchant banker's fairness opinion and the basis of the share exchange ratio;
• assets, liabilities, net worth, revenue, PAT and EBITDA of the companies involved, pre and post scheme and for the last 3 financial years;
• pre and post scheme shareholding, including promoter and promoter group holding and the effect on public shareholding;
• regulatory actions, complaints and conditions imposed by lenders, if any.

How to read this

These are the exchanges' observation letters, one step in the approval chain for a scheme of arrangement. BSE has recorded no adverse observations and NSE no objection. SEBI's letter states that submission of documents and information should not be construed as a clearance or approval from SEBI, and that SEBI does not take responsibility for the financial soundness of any scheme. The scheme, and the listing of the resulting company's shares, remain subject to further approvals.

Nothing here is a view, opinion or recommendation of ScoutQuest, its parent, directors or employees. ScoutQuest is a technology company: this page was assembled automatically from public sources using artificial intelligence, and may contain errors or omissions. Confirm everything against the original source before you act on it. Any use of this page is at your own risk, and neither ScoutQuest nor its parent, directors or employees accepts liability for it.

About ScoutQuest · Logos provided by Logo.dev