On September 11, Cochin Shipyard Limited (CSL) and Drydocks World—a subsidiary of DP World—officially signed an agreement to establish a 50:50 joint venture. The joint venture will take over the International Ship Repair Facility (ISRF) at Cochin Shipyard, which was completed two years ago.
Drydocks World will lead the operations of the joint venture and holds the right to nominate key management personnel, including the CEO, CFO, and COO. Cochin Shipyard will transfer the ship repair facility on Willingdon Island to the joint venture as a going concern for a consideration of no less than ₹18 billion (approximately US$189 million).
Half of the transaction consideration (approximately $95 million based on the minimum valuation) will be paid in cash, with the remainder settled through shares in the joint venture. The asset transfer remains subject to approval by the Cochin Port Authority, India’s Ministry of Ports, Shipping and Waterways, the Department of Investment and Public Asset Management, and the shareholders of Cochin Shipyard. Cochin Shipyard expects the transaction to be completed by March 2027.
Cochin Shipyard initially invested approximately ₹9.7 billion to build the ISRF; the project was completed in early 2024 and commenced commercial operations in August. The valuation for this transaction is nearly double the initial construction cost of the ship repair facility.
ISRF covers an area of approximately 30 hectares (including land and water leased from the Cochin Port Authority) and is equipped with a 6,000 ton ship lift, a transshipment system, six workstations, and approximately 1,400 meters of berthing space. It can accommodate 6–7 vessels, each 130 meters in length, for simultaneous repairs, with a maximum annual repair capacity of 82 vessels. In fiscal year 2025–26, ISRF completed repair and refit projects on a total of approximately 35 vessels, generating operating revenue of $21.8 million, which accounted for approximately 4.8% of the Cochin Shipyard’s total operating revenue.
It is understood that Cochin Shipyard and Drydocks World first expressed their intention to collaborate in April 2025, when the two parties proposed establishing a ship repair cluster and potentially developing offshore manufacturing operations in Cochin and Vadinar. In October of the same year, the two parties signed a framework agreement to develop India’s first ship repair cluster at the ISRF. The approval to establish this joint venture signifies that the two companies’ proposed collaboration is about to become a reality.
Currently, Cochin Shipyard is actively engaging with major international shipping and offshore engineering companies to expand the scope of its business partnerships. For example, Maersk has reached a memorandum of understanding with Cochin Shipyard to explore ship repair and construction opportunities. Seatrium, a Singapore-based offshore engineering company, has also signed an agreement with Cochin Shipyard to carry out marine maintenance, repair, and overhaul (MRO) projects in India and across Asia.