Cochin Shipyard IPO.

About the Company:

Cochin Shipyard was incorporated in the year 1972 as a fully owned Government of India company. In the last three decades the company has emerged as a forerunner in the Indian Shipbuilding & Ship Repair industry.Cochin Shipyard Limited (CSL) operates the largest shipbuilding and maintenance facility in India.The company operates its facilities in the port-city of Kochi, in the state of Kerala, India.

Company is wholly owned Government of India company, incorporated on March 29, 1972 and were conferred the ‘Mini Ratna’ status in 2008, by the Department of Public Enterprises, GOI.

Company’s clients are engaged in the defence sector in India and clients engaged in the commercial sector worldwide. In addition to shipbuilding and ship repair,company also offers marine engineering training.

Company has two docks – dock number one is primarily used for ship repair (“Ship Repair Dock”) and dock number two is primarily used for shipbuilding (“Shipbuilding Dock”). Our Ship Repair Dock is one of the largest in India and enables us to accommodate vessels with a maximum capacity of 125,000 DWT.Company’s Shipbuilding Dock can accommodate vessels with a maximum capacity of 110,000 DWT.

In the last two decades,they have built and delivered vessels across broad classifications including bulk carriers, tankers, Platform Supply Vessels (“PSVs”), Anchor Handling Tug Supply vessels (“AHTSs”), barges, bollard pull tugs, passenger vessels and Fast Patrol Vessels (“FPVs”).
Company is currently building India’s first Indigenous Aircraft Carrier (“IAC”) for the Indian Navy.Company is the the only commercial shipyard to have undertaken repair work of Indian Navy’s aircraft carriers, the INS Viraat and INS Vikramaditya.

The Current shipbuilding order book includes Phase-II of the IAC for the Indian Navy, two 500 passenger cum 150 ton cargo vessels and two 1,200 passenger cum 1,000 ton cargo vessels for the Andaman and Nicobar Administration (“A&N Administration”), two Roll-On/Roll-Off (“Ro-Ro”) vessels for the Kochi Municipal Corporation and a vessel for one of the Government of India’s (“GoI”) projects.

Company had recently delivered a large deck cargo cum launch barge to the National Petroleum Construction Company, Abu Dhabi (“NPCC”) and the last FPV (in a series of 20) to the Indian Coast Guard.

Cochin shipyard is strategically located along the west coast of India, midway on the main sea route connecting Europe, West Asia and the Pacific Rim, a busy international maritime route.They are also located close to the Kochi port as well as to offshore oil fields on the western coast of India and relatively close to the Middle East.

TOP 10 Shareholders of the Company:

Sr.No. Shareholder Name Number of Equity Shares held Percentage of Equity Share Capital %
1. President of India 113,279,700 99.99%
2. Mr.Barun Mitra 100 Negligible
3. Mr.Madhu S. Nair 100 Negligible
4. Mr.D.Paul Ranjan 70 Negligible
5. Mr.Sunny Thomas 10 Negligible
6. Mr. Suresh Babu N. V 10 Negligible
7. Mr. Pradeep Kumar Roy 10 Negligible


Strengths of the Company:

  • One of India’s leading public-sector shipyards catering to both commercial clients as well as clients engaged in the defence sector with a multitude of offerings for a broad range of vessels across life cycles.
  • Modern facilities and infrastructure and integrated capabilities to deliver quality products and services.
  • Order book with a strong customer base of reputable ship owners and marquee clients.
  • Competitive cost structure and efficient operations.
  • Led by a dedicated board, long serving and experienced senior management backed by a strong pool of experienced professionals.
  • Continuous profits leading to robust financial performance.

Companies Future Growth Strategies:

  • Expanding the capabilities through the proposed Dry Dock and International Ship Repair Facility.
  • Build a strong order book by bidding vigorously for projects to be awarded by the Indian PSUs and defence sector pursuant to ‘Make in India’ initiative.
  • Continue to enhance the construction quality and delivery time and enhance the price competitiveness in order to increase company’s market share.
  • Strengthen company’s market leadership position by continuously adding upgraded and new vessel models and expanding the customer services.
  • Continue to leverage company’s market position and relationships with customers, suppliers and other business partners to support the growth and improve our company’s competitiveness.


Current Expansion Projects:

  1. Currently building an International ship repair facility(ISRF) at Cochin Port Trust, which will many large ships from around the world coming here for major repair works.
  2. Company is in the Process of adding one more Dry dock at a cost of Rs.1799 crores which will expand its capacity to build Large LNG vessels and naval vessels such as aircraft carriers.


Achievements of the Company:

  • Only yard in india which has undertaken repairs of aircraft carriers INS Viraat and INS Vikramaditya.


Objectives of the Issue:

  1. Setting up of a new dry dock within the existing premises of our Company (“Dry Dock”)
  2. Setting up of an international ship repair facility at Cochin Port Trust area (“ISRF”).
  3. General corporate purposes.



Company’s Management Team:

  1. Mr.Madhu S. Nair (Designation: Chairman and Managing Director)
  2. Mr. D. Paul Ranjan (Designation: Director (Finance) and Chief Financial Officer)


Positives for the Company:

  • Market Leader in Ship repair business.
  • Strong order book with a strong customer base & marquee clients.
  • Strong financial Performance.
  • Consistent Dividend Payer.


Financials of the Company:

(in Crores) FY 13 FY 14 FY 15 FY 16 31st Sept FY 17
Revenue 1768.46 1861.34 1663.2 2099.28 1027.46
Net Profit 266.9 283.56 71.22 285.82 184.52