Cochin Shipyard shares rally 14% on deal with Drydocks World to develop ship repair clusters

Shares of Cochin Shipyard rallied nearly 14% on Wednesday, extending gains for the fourth consecutive session, after the public sector company announced a deal with Dubai-based Drydocks World. The PSU stock has risen as much as 24.5% in four sessions amid broad-based buying across defence sector due to escalated border tensions between India and Pakistan in the aftermath of the deadly terror attack in Jammu and Kashmir’s Pahalgam that killed 26 innocent tourists.

Continuing its gaining streak, Cochin Shipyard (CSL) share price surged by 13.9% to hit an intraday high of ₹1,797.10 on the BSE, while its market capitalisation crossed over ₹46,100 crore. Early today, the stock opened up by 3.5% at ₹1,632.80, after ending 3.7% higher at ₹1,577.20 in the previous session.

At the current level, Cochin Shipyard shares are up by 52% from its 52-week low of ₹1,180.45 touched on February 18, 2025. The counter is down nearly 40% from its 52-week high of ₹2,977.10 hit on July 8, 2024.

In the calendar year 2025, shares of Cochin Shipyard have risen by more than 12%, while it delivered 31% returns in the past year. In the past one month, the stock has surged by more than 22% amid heightened geopolitical tensions between India and Pakistan.

Partnership aims to expand India’s maritime capacity

Cochin Shipyard shares got a further boost today after it entered into a deal with Drydocks World to develop ship repair clusters in India. In a post-market release on Tuesday, the public sector enterprise under the Ministry of Ports, Shipping and Waterways, said it signed a pact with the DP World company to strengthen their collaboration to boost India’s ship repair and offshore fabrication capabilities.

“The partnership aims to bring global best practices to India’s maritime sector and expand capacity in line with the country's national goals,” Cochin Shipyard said in a release.

Last month, a memorandum of understanding (MoU) was signed between Drydocks World and Cochin Shipyard in Mumbai during the visit of H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, and Deputy Prime Minister and Minister of Defence of the UAE.

Following this, a high-level delegation from Drydocks World, led by Chief Executive Officer, Captain Rado Antolovic, visited CSL over two days from May 1 to 2 to discuss next steps.  The team toured CSL’s Main Yard, the newly commissioned 310 metre Dry Dock, the International Ship Repair Facility (ISRF), and the Marine Engineering Training Institute in Kochi, the release noted. 

"We are pleased to strengthen our collaboration with Cochin Shipyard Limited to support the growth of India’s maritime industry. By combining our global expertise with CSL’s local strength, we are laying the foundation for a world-class ship repair and offshore fabrication ecosystem in India,” said Captain Rado Antolovic on the deal with CSL.

Antolovic further said this is a long-term commitment to foster innovation, generate skilled employment, and contribute to India’s vision for a self-reliant and globally competitive maritime sector by 2030 and beyond.

During the discussion between the two parties, the focus remained on operationalising the MoU and identifying both immediate and long-term opportunities. The two sides aim to commence joint work at the ISRF in Kochi as a first step, with plans to expand collaboration across India. 

“The partnership is set to play a pivotal role in developing a world-class ship repair ecosystem to serve both domestic and international fleets. It will also bolster India’s offshore fabrication capabilities and support marine engineering training and skilling initiatives,” as per the release.

These efforts align with Centre’s Maritime India Vision 2030 and Amrit Kaal Vision 2047, which seek to position India as a global maritime hub with modern infrastructure, advanced technology, and a skilled workforce.