President of India sold 1,45,63,465 shares & LIC bought 1,32,01,576 shares of this debt-free defence shipbuilding company with Rs 32,260 crore order book

On Monday, shares of this debt-free defence shipbuilding company gained 0.60 per cent to an intraday high of Rs 2,999.80 per share from their previous closing of Rs 2,981.85 per share. The stock has a 52-week high of Rs 3,778 per share while its 52-week low is Rs 1,917.95 per share.

Shares of this defence shipbuilding company are in focus following the June 2025 shareholding update. The President of India significantly reduced their stake, selling 14,563,465 shares, or 3.61 per cent, through an Offer for Sale (OFS). Conversely, Life Insurance Corporation (LIC) made a fresh entry into the company, acquiring 13,201,576 shares, representing a 3.27 per cent stake. This notable shift in institutional ownership could draw considerable attention to the stock.

The stock name is Mazagon Dock Shipbuilders Limited (MDL).

About the Company

Mazagon Dock Shipbuilders Limited (MDL), a renowned Indian shipyard established in 1774, has a rich history of building a wide range of vessels, including warships, submarines, cargo/passenger ships, and offshore platforms. Having constructed over 800 vessels since 1960, MDL has consistently demonstrated its shipbuilding prowess. In recognition of its significant contributions to India's Defence industry, MDL was conferred the prestigious 'Navratna' status in June 2024, joining the ranks of India's top-performing public sector enterprises. This elevation is a testament to MDL's strong financial performance, consistent track record, and commitment to strengthening India's defence capabilities.

Recently, MDL announced its acquisition of a controlling stake, at least 51 per cent equity, in Colombo Dockyard PLC (CDPLC), a Sri Lankan shipbuilding and repair company, for up to USD 52.96 million (Rs 452 crore). This strategic investment involves a combination of primary and secondary acquisitions, with completion expected within 4-6 months, subject to regulatory approvals. The move aims to bolster MDL's market position, enhance R&D, and expand its global footprint in the shipbuilding and repair sector.

As of March 31, 2025, the company is debt-free. The company has a market cap of over Rs 1,20,000 crore and as of March 31, 2025, the company’s order book stands at Rs 32,260 crore. The stock is up by 56.4 per cent from its 52-week low of Rs 1,917.95 per share and has given multibagger returns of over 2,000 per cent in 3 years.

Disclaimer: The article is for informational purposes only and not investment advice.