Shares of Zen Technologies rose 5 percent to hit an upper circuit of Rs 1,944.6 on Monday, June 23, after the company announced its foray into the unmanned aerial vehicle (UAV) segment through a strategic acquisition.

The rally came after Zen said it had acquired a controlling stake in TISA Aerospace Pvt. Ltd., a young defence-tech firm known for its indigenous UAVs and loitering munitions. The deal, valued at Rs 6.56 crore, marks Zen’s expansion beyond its core business of defence training systems and anti-drone solutions.

TISA is a relatively small player, with a turnover of Rs 1.81 crore in FY25, but it has already delivered a project for the Defence Research and Development Organisation (DRDO), signalling credibility in India’s fast-evolving defence space.

Zen’s management is banking on strong growth ahead. The company, which had an order book of Rs 691.94 crore as of March-end, is eyeing cumulative revenue of Rs 6,000 crore over FY26 to FY28.

While the upcoming fiscal (FY26) may be soft, Zen is targeting a 50 percent compound annual growth rate over the three-year period. It also expects to secure fresh orders worth Rs 800 crore in the first half of FY26 alone.

Zen’s shares are still down nearly 20 percent in 2025 so far. Zen Tech shares have risen over 40 percent in the last three months.