Kaynes Technology forays into space satellite manufacturing, stock in focus today

Shares of Kaynes Technology are in news today as the firm has made a significant move into the space industry by incorporating a wholly owned subsidiary, Kaynes Space Technology Pvt. The new entity aims to design, develop, and manufacture satellites of all classes, focusing on diverse applications such as communication, Earth observation, and scientific research. In a stock exchange filing, the company shared plans to invest in research and development areas such as space propulsion and AI-based autonomy, alongside creating modular satellite platforms and indigenous launch vehicles.

Kaynes Technology shares closed 1.33% lower at Rs 5,770.55, amid a 1.2% Sensex rise on Thursday. Market cap of the firm stood at Rs 36,980 crore. .

Jairam P Sampath is the CFO of the subsidiary. During an earnings call this month, he highlighted the vast opportunities in the space sector, stating, “Space by itself offers huge opportunities in terms of satellites, which can be micro, mini or regular satellites and even launch vehicles and so on and components thereof. We’ve also set up a significant capacity.” Furthermore, Kaynes Technology has been a long-term partner with the Indian Space Research Organisation (ISRO), with Sampath noting, “We’ve been a strategic partner for ISRO for more than a decade and we have participated in most of their prestigious missions and all that. our ambition to really be part of the technology evolution that ISRO is bringing in.” This collaboration underscores the company’s established expertise and ambition in the space sector.

The subsidiary will also develop space-based applications for border surveillance and disaster monitoring, with a commitment to continuously upgrading its technologies.

“Additionally, it will develop space-based applications like border surveillance and disaster monitoring and continuously upgrade its technologies to stay at the forefront of space innovation,” the filing mentioned. The Indian government has encouraged private sector participation in the space industry, and Kaynes Technology’s move aligns with this initiative, tapping into a market projected to grow significantly in the coming years.