Latest news with #ColomboDockyardPLC
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First Post
30-06-2025
- Business
- First Post
Why has Mazagon Dock bought controlling stake in Sri Lanka's Colombo dockyard?
Mazagon Dock, India's biggest warship builder, has bought a controlling interest in Colombo Dockyard PLC (CDPLC). The Indian government-run firm headquartered in Mumbai and chaired by ex-Indian Navy captain Jagmohan has bought Sri Lanka's biggest dockyard and publicly-listed company for $52.96 million (Rs 452 crore) in cash read more Mazagon Dock Shipbuilders Ltd has acquired a stake in a Sri Lankan dockyard. The Indian government-run firm bought a controlling interest in Colombo Dockyard PLC (CDPLC). But what do we know about the deal? And why has Mazagon Dock Shipbuilders bought a stake in the dockyard in Colombo? Let's take a closer look: What we know First, let's take a brief look at Mazagon Dock Shipbuilders. Mazagon Dock Shipbuilders is India's biggest warship builder. It was incorporated as a public firm in 1934. Headquartered in Mumbai, it is chaired by ex-Indian Navy captain Jagmohan. STORY CONTINUES BELOW THIS AD It has a market capitalisation of $15.12 billion (Rs 1,29,254 crore). It has a turnover of around $1.13 billion ( Rs 9,660 crore). Mazagon Dock Shipbuilders bought a 51 per cent stake in the CDPLC. CDPLC is Sri Lanka's biggest dockyard and a publicly-listed firm. Located within the port of Colombo, it has been in business for over five decades. Mazagon Dock Shipbuilders Limited Mazagon Dock Shipbuilders is India's biggest warship builder. The deal was made in cash for $52.96 million (Rs 452 crore). 'The Board of Directors of Mazagon Dock Shipbuilders Limited inter alia considered and approved the acquisition of a controlling and substantial stake of Colombo Dockyard PLC by way of an investment not exceeding $52.96 million (approximately Rs 452 crore) considering prevailing exchange rate) in the securities of CDPLC through a combination of primary subscription and secondary acquisitions from the shareholders of CDPLC,' a statement from Mazagon Dock Shipbuilders read. The CDPLC has been in poor financial health for a while. The firm saw a loss of Rs 70 crore in 2024. Onomichi Dockyard, which had controlling interest of CDPLC, approached both the Sri Lankan and Japanese governments for relief. Onimichi previously owned a 51 per cent stake in CDPLC. Why has it made this deal? Experts say the move is aimed at countering China's growing footprint in Sri Lanka as well as the IOR. China owns an 85 per cent stake in Hambantota International Port Group (HIPG). It also has a 99-year lease on Sri Lanka's Hambantota International Port (HIP). Experts also say the deal gives MDL a foothold into the Indian Ocean Region (IOR). Despite the CDPLC's recent financial difficulties, the port's strategic location and history could make it an invaluable asset for MDL. STORY CONTINUES BELOW THIS AD After all, the CDPLC is the Sri Lankan government's leading shipbuilder and ship repair firm. It services over 200 ships every year – and can handle vessels up to 125,000 DWT. It also has clients and government contracts across Asia, West Asia, and Africa. It is known for building complex offshore support vessels, cable-laying ships, tankers, and patrol boats for clients across Japan, Norway, France, the UAE, India, and several African nations. It is Sri Lanka's only shipyard which offers an integrated portfolio of services-ranging from in-house design and construction to advanced repair and marine steel fabrication. The move also helps out Sri Lanka. This because the Sri Lanka Employees' Provident Fund owns 16 per cent of the CDPLC, its insurance fund owns around 9 per cent and the ports authority owns five per cent. The CDPLC going under would have also meant the loss of jobs for those employed at the dockyard. It could also be the first step towards MDL becoming a global player in shipbuilding. STORY CONTINUES BELOW THIS AD This is the first time an Indian shipbuilding firm, either state-owned or private, has bought a shipyard overseas. 'With this, MDL begins its transformation from a domestic shipbuilder to a regional maritime player with global ambitions," Mazagon Dock Shipbuilders Limited wrote on its social media account on X. 'Aligned with Maritime Amrit Kaal Vision 2047, this move strengthens India's regional maritime influence and expands MDL's global reach,' it added. 'This is not just an acquisition, it is a gateway. It marks our first international foray and reflects our ambition to transform into a global shipbuilding enterprise. With Colombo Dockyard's strategic location, proven capabilities, and strong regional presence, this step will position MDL as a key player in South Asia and lay the foundation for our emergence as a global shipyard,' MDL chairman Captain Jagmohan said. 'With this acquisition, MDL positions itself not only to strengthen its presence in the region (IOR) but also to enhance its competitiveness in the global shipbuilding and marine engineering arena,' an MLD spokesperson added. STORY CONTINUES BELOW THIS AD With inputs from agencies
Time of India
28-06-2025
- Business
- Time of India
Morning news wrap: Iran says Israel ran to 'daddy', Bigg Boss star Shefali Jariwala dies of cardiac arrest & more
. Iran's foreign minister Abbas Araghchi took a sharp dig at Israel, saying it had 'no choice but to run to daddy,' referring to US President Donald Trump. Meanwhile, actress Shefali Jariwala has passed away at 42 after suffering a cardiac arrest, leaving fans and the entertainment world in mourning. Uddhav and Raj Thackeray will come together for a joint protest on July 5 against the mandatory teaching of Hindi from class 1 under the new three-language policy in Maharashtra. Tehran taunts Israel; questions Trump's intent on nuclear deal Iran's foreign minister Abbas Araghchi, mocked Israel, saying it had 'no choice but to run to daddy,' a jab at US President Donald Trump. He also questioned Trump's sincerity about seeking a new nuclear agreement. The remarks come amid heightened tensions between Iran and Israel, as both nations trade barbs over Tehran's nuclear program. Read full story Bigg Boss 13 fame Shefali Jariwala passes away at 42 after cardiac arrest Actress and Bigg Boss 13 fame Shefali Jariwala has passed away at the age of 42. As per reports, she suffered a cardiac arrest on the night of June 27 and could not be revived. Best known for her appearance on the reality show and the iconic music video Kaanta Laga, her untimely demise has left fans and the entertainment industry in shock. Read full story India bolsters naval presence with $53 million Lanka shipyard acquisition Mumbai-based defence PSU Mazagon Dock Shipbuilders Ltd is set to acquire a controlling stake in Sri Lanka's largest shipyard, Colombo Dockyard PLC, in a deal worth nearly $53 million. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 선배는 영어성적 어떻게 만들었어요? 파고다어학원 더 알아보기 Undo This marks the company's first overseas acquisition and is expected to significantly boost India's strategic presence in the Indian Ocean Region (IOR). Read full story Uddhav, Raj Thackeray reunite for protest against three-language policy in Maharashtra Uddhav and Raj Thackeray are set to hold a joint protest march on July 5, opposing what they describe as the imposition of Hindi in Maharashtra's schools under the new three-language policy, which mandates teaching Hindi from Class 1. This marks the first time the two leaders will share a political stage since Raj parted ways with Shiv Sena. Read full story Jeff Bezos, Lauren Sanchez get married in lavish Venice ceremony Billionaire Amazon founder Jeff Bezos and journalist Lauren Sanchez tied the knot on Friday in a lavish ceremony on Venice's San Giorgio Maggiore island. The multi-day wedding celebration is expected to wrap up on Saturday with a grand party, reportedly set to take place at the Arsenal. Read full story
NDTV
27-06-2025
- Business
- NDTV
Mazagon Dock Shipbuilders To Acquire Controlling Stake In Colombo Dockyard PLC
Mumbai: State-run Mazagon Dock Shipbuilders Limited (MDL) has decided to acquire a controlling stake in Sri Lanka's Colombo Dockyard PLC under a USD 52.96 million deal, a move that is expected to expand India's strategic presence in the island nation. MDL's decision marks its first international venture and is seen as a major milestone in the company's transformation from a purely domestic shipbuilder into a regional maritime player with global aspirations. "Located in the Port of Colombo, Colombo Dockyard PLC (CDPLC) gives MDL a strategic foothold in the Indian Ocean Region-- a key maritime corridor," the MDL said in a statement. Officials said MDL's acquiring controlling stakes in CDPLC will significantly change the shipbuilding and ship repair landscape in the region. The MDL will bring an order pipeline for CDPLC from both domestic and international markets for repairs, refits and new builds, they said. As such there is a continuous revenue stream of ship repairs from the Indian sub-continent and MDL acquiring controlling stakes would only further this trend, they said. The move comes amid concerns in New Delhi over China's persistent attempts to expand its strategic influence in the island nation. Colombo Dockyard PLC, listed on the Colombo Stock Exchange, is the flagship of Sri Lanka's maritime industry and serves a wide spectrum of commercial and governmental clients across Asia, the Middle East, and Africa. It is Sri Lanka's largest shipyard. "The investment, valued at up to USD 52.96 million, will be carried out through a combination of primary infusion and secondary share purchase, including the acquisition of shares from Onomichi Dockyard Co Ltd, the current majority shareholder," the readout said. A number of orders for which potential clients are approaching MDL can also be diverted to CDPLC which will ensure that there is a supply chain and industrial connectivity, the officials cited above said. They said both the shipyards possess enormous expertise garnered over the past decades and this strength can be leveraged for mutual benefit and can result in a win-win scenario. The resources available at both the yards can be shared for mutual benefit. For instance, the detailed design capabilities possessed by both the yards can be leveraged for projects at MDL as well as at CDPLC. The CDPLC which is currently under financial distress can benefit from MDL's strong financial capabilities and resource base thereby expediting the turnaround process, the officials said. The MDL can leverage its resources for augmentation of the operations of CDPLC and its subsidiaries in other ports of the country based on opportunities that may arise, they added. (Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
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Business Standard
27-06-2025
- Business
- Business Standard
PSU Mazagon Shipbuilders to acquire controlling stake in Colombo Dockyard
The Mazagon Dock Shipbuilders Limited (MDL), India's Public Sector Shipyard, has announced a "proposed acquisition" of a controlling stake in Sri Lanka's largest and most established shipyard, Colombo Dockyard PLC (CDPLC) valued at up to $ 52.96 million, a statement said on Friday. This marks MDL's first international venture and is a major milestone in the company's transformation from a purely domestic shipbuilder into a regional maritime player with global aspirations, the statement said. Strategically located within the Port of Colombo, CDPLC offers MDL a strong operational foothold in the Indian Ocean Regionone of the busiest and most geopolitically significant maritime corridors in the world. Mazagon Dock Shipbuilders Limited, headquartered in Mumbai, is India's leading defence PSU, builder of frontline warships and submarines and has played a pivotal role in the country's naval modernisation. Colombo Dockyard PLC, listed on the Colombo Stock Exchange, is the flagship of Sri Lanka's maritime industry and serves a wide spectrum of commercial and governmental clients across Asia, the Middle East, and Africa. Mazagon Dock Shipbuilders Limited (MDL), India's Public Sector Shipyard, has announced a significant step in its strategic evolution with the approval of a proposed acquisition of a controlling stake in Sri Lanka's largest and most established shipyard, Colombo Dockyard PLC (CDPLC). The investment, valued at up to $ 52.96 million, will be carried out through a combination of primary infusion and secondary share purchase, including the acquisition of shares from Onomichi Dockyard Co. Ltd., the current majority shareholder, the statement said. Upon completion, subject to customary regulatory approvals and closing conditions, CDPLC will become a subsidiary of MDL. The move assumes significance amid the increasing assertiveness of Chinese in the Indian Ocean region and its presence in India's neighbourhood. This is not just an acquisition it is a gateway. It marks our first international foray and reflects our ambition to transform into a global shipbuilding enterprise. With CDPLC's strategic location, proven capabilities, and strong regional presence, this step will position MDL as a key player in South Asia and lay the foundation for our emergence as a global shipyard, said Capt Jagmohan, Chairman and Managing Director of MDL. Colombo Dockyard PLC brings to MDL more than five decades of experience in shipbuilding, ship repair, and heavy engineering. The company has a track record of delivering complex offshore support vessels, cable-laying ships, tankers, and patrol boats for clients across Japan, Norway, France, the UAE, India, and several African nations. It is the only shipyard in Sri Lanka offering an integrated portfolio of servicesranging from in-house design and construction to advanced repair and marine steel fabrication, it said. CDPLC operates four drydocks and multiple berths capable of handling vessels up to 125,000 DWT and maintains compliance with ISO and classification standards such as DNV, Lloyd's Register, ABS, and IRS. In addition to its technical strengths, CDPLC is actively pursuing a pipeline of orders exceeding $ 300 million, which includes cable laying ships, multi-purpose utility ships, and newbuild fleet support vessels. With MDL's supportparticularly in technology sharing, access to Indian supply chains, and entry into Indian and allied maritime marketsCDPLC is well positioned for financial turnaround and long-term growth, the statement said. The acquisition envisages India's emergence as a leading maritime power with strong regional integration and industrial capabilities. It also supports MDL's broader vision to foster maritime self-reliance, promote regional cooperation, and create a competitive, multi-location shipbuilding enterprise anchored in Indian expertise, the statement said.
Economic Times
27-06-2025
- Business
- Economic Times
Mazagon Dock to acquire controlling stake in Sri Lanka's Colombo Dockyard
The Mazagon Dock Shipbuilders Limited (MDL), India's Public Sector Shipyard, has announced a "proposed acquisition" of a controlling stake in Sri Lanka's largest and most established shipyard, Colombo Dockyard PLC (CDPLC) valued at up to USD 52.96 million, a statement said on marks MDL's first international venture and is a major milestone in the company's transformation from a purely domestic shipbuilder into a regional maritime player with global aspirations, the statement located within the Port of Colombo, CDPLC offers MDL a strong operational foothold in the Indian Ocean Region-one of the busiest and most geopolitically significant maritime corridors in the Dock Shipbuilders Limited, headquartered in Mumbai, is India's leading defence PSU, builder of frontline warships and submarines and has played a pivotal role in the country's naval Dockyard PLC, listed on the Colombo Stock Exchange, is the flagship of Sri Lanka's maritime industry and serves a wide spectrum of commercial and governmental clients across Asia, the Middle East, and Africa. "Mazagon Dock Shipbuilders Limited (MDL), India's Public Sector Shipyard, has announced a significant step in its strategic evolution with the approval of a proposed acquisition of a controlling stake in Sri Lanka's largest and most established shipyard, Colombo Dockyard PLC (CDPLC)."The investment, valued at up to USD 52.96 million, will be carried out through a combination of primary infusion and secondary share purchase, including the acquisition of shares from Onomichi Dockyard Co. Ltd., the current majority shareholder," the statement completion, subject to customary regulatory approvals and closing conditions, CDPLC will become a subsidiary of MDL. The move assumes significance amid the increasing assertiveness of Chinese in the Indian Ocean region and its presence in India's neighbourhood."This is not just an acquisition - it is a gateway. It marks our first international foray and reflects our ambition to transform into a global shipbuilding enterprise. With CDPLC's strategic location, proven capabilities, and strong regional presence, this step will position MDL as a key player in South Asia and lay the foundation for our emergence as a global shipyard," said Capt Jagmohan, Chairman and Managing Director of MDL. Colombo Dockyard PLC brings to MDL more than five decades of experience in shipbuilding, ship repair, and heavy engineering. The company has a track record of delivering complex offshore support vessels, cable-laying ships, tankers, and patrol boats for clients across Japan, Norway, France, the UAE, India, and several African nations. It is the only shipyard in Sri Lanka offering an integrated portfolio of services-ranging from in-house design and construction to advanced repair and marine steel fabrication, it said. CDPLC operates four drydocks and multiple berths capable of handling vessels up to 125,000 DWT and maintains compliance with ISO and classification standards such as DNV, Lloyd's Register, ABS, and IRS. In addition to its technical strengths, CDPLC is actively pursuing a pipeline of orders exceeding USD 300 million, which includes cable laying ships, multi-purpose utility ships, and newbuild fleet support vessels. With MDL's support-particularly in technology sharing, access to Indian supply chains, and entry into Indian and allied maritime markets-CDPLC is well positioned for financial turnaround and long-term growth, the statement said. The acquisition envisages India's emergence as a leading maritime power with strong regional integration and industrial capabilities. It also supports MDL's broader vision to foster maritime self-reliance, promote regional cooperation, and create a competitive, multi-location shipbuilding enterprise anchored in Indian expertise, the statement said.
