Proceeds to part finance expansion of yard projects.

Cochin Shipyard has raised Rs1,442 crores from the Initial Public Offer (IPO) which has been a combination of fresh issue and offer for sale in the ratio of 2:1.

The IPO was oversubscribed by over 75 times with more than Rs1.11 lakh crore on offer of Rs.1,442 crores.

The Issue also saw a strong interest from retail segment with over 20 lakh applications, the highest in the last decade.

The yard was listed on Bombay Stock Exchange and National Stock Exchange on 11 August 2017.

The company held detailed roadshows in India, Far East, Europe and US.

The proceeds of the fresh issue part of the IPO, totaling approximately Rs.961 crores, will be for part funding of two expansion projects costing Rs2,800 crores.

The projects are – a dry dock at the Cochin Shipyard premises to accommodate bigger ships for building and repair and a ship repair facility in the adjacent Cochin Port Trust premises by setting up of a ship lift and transfer system.

Incorporated in the year 1972 as the first green field shipyard of India, Cochin Shipyard is the largest public sector shipyard in India in terms of dock capacity.

It caters to clients engaged in the Defence sector in India and clients engaged in the commercial sector worldwide for Shipbuilding and Ship Repair.

In addition to shipbuilding and ship repair, CSL also offers marine engineering training.

The yard has exported around 45 ships to overseas customers and built the first Indigenous Aircraft Carrier for the Indian Navy.

The company’s diversified business profile and presence in multi maritime segments have resulted in strong financial fundamentals.

The company’s turnover for FY 2017 was Rs.2,059 crores as against a turnover of Rs.1,404 crores for the FY 2012.

The Profit After Tax for the FY 2017 was Rs.322 crores as against a PAT of Rs.172 crores for FY 2012.

The Networth of the company as on March 2017 was Rs.2,031 crores as against Rs.1,051 crores at end of FY 2012. fii-news.com