Cochin Shipyard Considers IPO
Cochin Shipyard Ltd (CSL) geared up to float in India's first indigenous aircraft next month. The company is mulling an IPO to fund its expansion that roughly RS1500 crore.
K Subramaniam, the chairman and managing director for CSL, said that the company hoped to offer 2.2 crore shares. He also added that Cochin Shipyard expected to increase around RS500 crore from the capital market. However, the said plans were subjected to approvals.
Cochin Shipyard proposed building new large dry dock. The dry dock will be capable of docking offshore oil rigs and semi submersibles. It also aimed to develop an international ship repair facility at Kochi port. This will take up offshore fabrication work for ONGC and other operators.
Cochin Shipyard was able to achieve good results in the past years regardless of recession in the global shipping industry. It is likely to continue in the next two years as stated by Subramaniam. CSL improved its performance with a turnover of around RS1554 crore between 2012 and 2013.