The satellite launch vehicle will be powered by semi cryogenic technology with a payload capacity of 500 kg.

Both the parties have entered into framework memorandum of understanding (MoU) for various requirements including avionics, sub systems testing, facilitation of launch etc. and any other requirements that might emerge during the course of design, development and launch phase. The MoU shall remain in force for three years.

Parvat Srinivas Reddy, managing director of MTAR Technologies, said: “MTAR has consistently embraced innovation to indigenise new technologies for India.

Now the company is taking a leap forward to graduate from precision engineering to complete system integration by initiating the development of a two-stage to low earth orbit all liquid small satellite launch vehicle project to address a payload of 500 kg in the low earth orbit. The company has adopted all liquid route to leverage more than three decades of expertise in manufacturing liquid propulsion engines.”

MTAR Technologies caters to Civil Nuclear Power, Space, Defence and Clean Energy sectors. The company has a long-standing relationship of over four decades with leading Indian organisations and global OEMs. It has seven manufacturing units, including an export-oriented unit, each based in Hyderabad, Telangana.

The company's consolidated net profit rose 29.61% to Rs 24.69 crore on a 38.20% increase in sales to Rs 126.18 crore in Q2 FY23 over Q2 FY22.

The scrip shed 0.60% to currently trade at Rs 1671.05 on the BSE.