Cochin Shipyard inks Rs 488.25 crore repair pact with MoD, stocks move up
The work on the contract has already commenced in Q2FY24
Kochi: Cochin Shipyard Limited has entered into a significant Rs. 488.25 crore contract with the Ministry of Defence to undertake the repair and maintenance of equipment and systems onboard naval vessels. The shipbuilding and maintenance company, in a press release, announced that work on the contract has already commenced in Q2FY24, following the Ministry of Defence's approval of necessity (AoN). The project is anticipated to be completed by Q1FY25.
Cochin Shipyard, known for its expertise in both commercial and defence ship repair and maintenance, continues to play a crucial role in enhancing India's maritime capabilities. Earlier this month, the company solidified its collaboration with the Adani Group through a memorandum of understanding (MoU) for constructing green tugs. This initiative aligns with the Approved Standard Tug Design Specifications (ASTDS) issued by the Ministry of Ports, Shipping, and Waterways, contributing to the Atmanirbhar Bharat initiative.
In November, Cochin Shipyard marked a milestone with the launch of three Indian Navy vessels as part of the series of eight anti-submarine warfare shallow water crafts from its Kochi Yard. The first ship of this project is scheduled for delivery by November 2024, according to a company press release.
The company had previously secured a contract with the defence ministry in April 2019 for the construction of eight ASW SWC ships. The first three ships launched will be named INS Mahe, INS Malvan, and INS Mangrol upon commissioning into the Indian Navy. Cochin Shipyard continues to be a key player in bolstering India's naval capabilities and contributing to indigenous shipbuilding initiativ.
Shares of Cochin Shipyard Ltd are in focus today after the PSU defence firm said it has inked a contract worth Rs 488.25 crore with the Ministry of Defence (MoD). The work package includes repair and maintenance of the equipment and systems onboard the naval vessel.The share opened at Rs.1222.10 was trading at 1276 with a gain of Rs.40.80 or 3.45 per cent at 11.14 am, December