Press Release

July 22, 2026 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, Plot C/1, G Block, Dalal Street, Bandra – Kurla Complex, Fort, Mumbai – 400001 Bandra (East), Mumbai – 400051 Scrip Code: 543367 Trading Symbol: PARAS Dear Sir/ Madam, Subject: Intimation under Regulation 30 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 – Press Release With reference to the intimation dated today i.e. July 22, 2026 and pursuant to Regulation 30 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith a Press Release titled “Government of Madhya Pradesh and Paras Semiconductors Sign MoU for ₹6,200 Crore Semiconductor Facility”. Kindly take the same on your record. Thanking you, For Paras Defence and Space Technologies Limited Minal Bhate Company Secretary and Compliance Officer Membership No.: A20188 Government of Madhya Pradesh and Paras Semiconductors Sign MoU for ₹6,200 Crore Semiconductor Facility • Fifty Acres Allotted on the Ujjain–Indore Corridor • ₹6,200 Crore Investment Proposal to Build Advanced Semiconductor Capabilities • Supporting India's Semiconductor demand in Strategic Applications Bhopal, July 22nd, 2026: Paras Semiconductors today signed a Memorandum of Understanding (MoU) with the Government of Madhya Pradesh to establish an advanced semiconductor packaging OSAT facility in the state. As part of the agreement, the Government of Madhya Pradesh has allotted fifty acres of land on the strategically located Ujjain–Indore Corridor for the proposed facility. Backed by a proposed investment of ₹6,200 crore, the project is expected to strengthen India's semiconductor manufacturing ecosystem, accelerate the development of semiconductor devices for strategic applications, generate significant employment opportunities, catalyse the growth of a robust semiconductor ecosystem and reinforce Madhya Pradesh's emergence as a preferred destination for advanced manufacturing and next-generation technologies. Paras Semiconductor, the semiconductor business of Paras Defence & Space Technologies Ltd., has been established to build advanced semiconductor capabilities for strategic and high-performance sensor applications. Leveraging advanced semiconductor manufacturing and packaging technologies, the company aims to develop semiconductor devices for sensor technologies, optical and optronic systems, and other strategic applications in the near term. The facility also offers the potential to support future expansion into AI chips and other advanced semiconductor technologies, as market opportunities evolve. The initiative builds on Paras Defence's longstanding expertise in optics and optronics and reflects the Group's strategic expansion into critical technologies aligned with India's semiconductor ambitions. Commenting on the development, Munjal Sharad Shah, Managing Director, Paras Defence & Space Technologies Ltd., said: "The signing of this MoU marks a significant milestone in Paras Semiconductor's journey towards building indigenous semiconductor capabilities in India. We are honoured by the confidence and support extended by the Government of Madhya Pradesh and sincerely appreciate the state's progressive vision, industry-friendly policies and commitment to creating an enabling ecosystem for advanced manufacturing. The allocation of land on the Ujjain– Indore Corridor reflects the state's intent to foster long-term partnerships with industry. Through this investment, we look forward to contributing to Madhya Pradesh's industrial growth, creating high- value employment, nurturing a vibrant supplier ecosystem and supporting India's vision of becoming a globally competitive semiconductor manufacturing destination." Commenting on the strategic significance of the project, Santosh Kumar, Chief Executive Officer, Paras Semiconductor, said: "The next phase of India's semiconductor journey will be defined not just by manufacturing capacity, but by the strength of the ecosystems we build around it. The Ujjain–Indore Corridor presents a unique opportunity to combine world-class infrastructure with a progressive policy environment to create a globally competitive semiconductor ecosystem. Ujjain, the sacred city of Mahakal and one of India's oldest centres of knowledge and civilisation, symbolises a remarkable convergence of heritage and the future. It is an honour for Paras Semiconductors to contribute to this transformation and be part of Madhya Pradesh's vision of building advanced semiconductor capabilities. Through this project, we aim to develop semiconductor devices for strategic applications, strengthen domestic technology capabilities and contribute to India's long-term technological self- reliance." The project aligns with the Government of Madhya Pradesh's Semiconductor Policy 2025 and the state's broader vision of developing an integrated ecosystem for semiconductors, electronics manufacturing, artificial intelligence, data centres and other advanced technologies. The Ujjain– Indore Corridor is emerging as one of the state's key technology and manufacturing corridors, supported by progressive policy initiatives, world-class infrastructure, industry-academia collaboration, research and skill development programmes aimed at attracting investments across the semiconductor value chain. The project is expected to complement these efforts by creating advanced manufacturing capabilities while strengthening the region's position as a strategic hub for next- generation technologies. The Hon'ble Chief Minister of Madhya Pradesh, Dr. Mohan Yadav, welcomed Paras Semiconductors' interest to invest in the state, saying, "Madhya Pradesh is steadily emerging as a preferred destination for high-technology manufacturing, backed by progressive policies, robust infrastructure and an industry-friendly ecosystem. We welcome Paras Semiconductors' proposed investment and encourage the company, along with other leaders in the defence, space and semiconductor sectors, to leverage the immense opportunities our state has to offer. The Ujjain-Indore Corridor is being developed as a strategic hub for advanced manufacturing, and we remain committed to providing responsive governance, world-class infrastructure and timely facilitation to enable such transformative investments. Together, we can strengthen India's capabilities in advanced technologies and contribute to the vision of Aatmanirbhar Bharat." The proposed facility is expected to contribute significantly to Madhya Pradesh's industrial landscape by fostering ancillary industries, encouraging the growth of MSMEs and supplier networks, creating opportunities for highly skilled talent and strengthening the state's capabilities in high-value manufacturing. Beyond direct economic benefits, the project is expected to accelerate technology development, encourage innovation-led manufacturing and reinforce Madhya Pradesh's position as an emerging semiconductor destination while supporting India's long-term semiconductor and electronics ambitions. As India accelerates efforts to build resilient domestic semiconductor capabilities, investments spanning manufacturing, advanced packaging, design, testing, research, electronics manufacturing services (EMS), talent development and trusted supply chains will play a defining role in strengthening the country's technological competitiveness. Paras Semiconductor's proposed facility represents a significant step in this direction by combining advanced manufacturing capabilities with ecosystem development. Beyond strengthening India's semiconductor value chain, the project is expected to create lasting economic value for Madhya Pradesh through employment generation, ecosystem development, technology partnerships, supplier networks and innovation-led industrial growth, while reinforcing the state's emergence as a preferr [Showing first 8,000 characters — download PDF for full document]