One of India’s leading shipbuilding and repair yards, Cochin Shipyard, had its shares rise for the sixth consecutive trading session on Monday, December 2. The shares surged 5% to ₹1,656 per share, not seen since mid-October. Following the announcement by the Indian government’s Ministry of Defence (MoD) that a significant contract was signed on November 30 for the rapid restoration and dry docking of a large Indian naval warship, the rally was held.
Share price of Cochin Shipyard
Following the signing of a contract with the Ministry of Defense last week, the public sector shipbuilding enterprise saw a significant increase in its share price on Monday. According to the official release, the contract is valued above Rs 1,000 crore.
On the National Stock Exchange, shares of Cochin Shipyard were up 5% at the Rs 1,656 price level at 10:30 a.m.
MoD inks contract worth ₹1207 Cr with Cochin Shipyard Limited
The Ministry of Defense and M/s Cochin Shipyard Limited inked a contract on November 30, 2024, for the INS Vikramaditya’s Short Refit and Dry Docking (SRDD), which will cost Rs. 1207.5 Cr in total. In November 2013, the Indian Navy commissioned INS Vikramaditya, an aircraft carrier.
Once the Refit is finished, INS Vikramaditya will be able to fight more effectively and join the Indian Navy’s active fleet. Cochin Shipyard Limited’s expansion as a Maintenance, Repair & Overhaul (MRO) hub to assist India’s industrial ecosystem is aided by this project. It is anticipated that the project will engage about 50 MSMEs and create jobs for over 3500 people.
Cochin Shipyard has achieved a major milestone with the ₹1,000 crore contract with the Ministry of Defence, solidifying its status as a major force in India’s defence and maritime industries. By including MSMEs and creating a significant number of jobs, this project not only strengthens the company’s capacity to manage challenging naval missions but also advances the government’s “Make in India” campaign. Cochin Shipyard is demonstrating its strategic emphasis in conjunction with its strong financial performance and recent Memorandum of Understanding with Seatrium Letourneau USA.
