Paras Defence shares rise 6% in early deals, here's why 

Shares of Paras Defence and Space Technologies Ltd climbed 6% in early deals on Thursday after the company inked a Memorandum of Understanding (MoU) with the Maharashtra government to develop an Optics Park Project in Navi Mumbai. The project is likely to start operations in 2028 and aims to boost optical technology advancements in India.

Paras Defence shares rose 6.24% to Rs 1092.90 against the previous close of Rs 1028.70 on BSE. Market cap of the firm rose to Rs 4315.45.

Total 9184 shares of the firm changed hands amounting to a turnover of Rs 98.41 lakh. The stock fell to a 52-week low of Rs 608.75 on March 28 last year and touched a 52 week high of Rs 1592.75 on July 5, 2024. 

"We are pleased to inform that Paras Defence and Space Technologies Limited has signed a Memorandum of Understanding (MoU) with the Government of Maharashtra, India, for the proposed Optics Park Project in Navi Mumbai, Maharashtra. This prestigious Optics Park Project is set to commence in the year 2028," the company stated in an exchange filing.

The project involves an investment of Rs 12,000 crore over the next 10 years, subject to land allocation and subsidies from the state government. Once operational, it is expected to create 2,000 direct employment opportunities and become India’s first dedicated technology hub for optics and optical technologies.

Paras Defence is engaged in designing, developing, manufacturing, and testing a wide range of defence and space engineering products and solutions. Paras Defence's business is highly dependent on projects and programmes that are undertaken by the central government and associated entities, such as defence public sector undertakings and government organisations involved in space research.