New Delhi/Kochi: Cochin Shipyard Limited (CSL) has approved a proposal to form a 50:50 joint venture with Drydocks World – Dubai FZCO (DDW), a DP World company, for the ownership, operation and management of its International Ship Repair Facility (ISRF) at Willingdon Island in Kochi.
Under the proposed transaction, the ISRF will be transferred to the joint venture company on a slump sale basis for a consideration of not less than ₹1,800 crore. CSL will receive 50% of the consideration in cash, while the remaining 50% will be received through equity shares of the proposed JV company.
Cochin Shipyard-Drydocks World JV: Key Details
The proposed joint venture will be incorporated as a private limited company under the Companies Act, 2013, with its registered office in Kochi.
Key details of the proposed partnership include:
- Partners: Cochin Shipyard Limited and Drydocks World – Dubai FZCO
- Shareholding: 50:50
- ISRF valuation: ₹1,800 crore
- Location: Willingdon Island, Kochi
- Transaction: Slump sale on a going-concern basis
- Planned expansion: Addition of 10 workstations
- Vessel capacity: Up to 130 metres in length and 6,000 tonnes in weight
- JV Agreement: Scheduled to be signed on September 11, 2026
- Expected implementation: Before the end of the current financial year
Read also: Cochin Shipyard Wins Best Ship Repair Yard Award at IMC Golden Shield Excellence Awards 2026
₹1,800 Crore ISRF to Be Transferred to JV
The ISRF has been valued at ₹1,800 crore based on independent third-party valuations.
The transaction structure provides that CSL will receive half of the consideration in cash and the remaining half in the form of equity shares in the joint venture company.
The ISRF’s valuation is equivalent to around 30.55% of Cochin Shipyard’s net worth as of March 31, 2026.
The facility generated ₹207.33 crore in revenue during FY 2025-26, contributing around 4.81% of CSL’s total revenue from operations.
ISRF Equipped to Handle Commercial and Naval Vessels
The International Ship Repair Facility has been developed across approximately 30 hectares of land and water area at Willingdon Island.
The facility has been developed on land and water areas leased from the Cochin Port Authority for 60 years.
Its major infrastructure includes:
- 6,000-tonne ship lift and transfer system
- Six workstations
- Around 1,400 metres of berthing space
- Capacity to handle up to six vessels simultaneously
- Annual throughput capacity of up to 82 ships
- Capability to service vessels up to 130 metres long and 6,000 tonnes in weight
The facility was inaugurated by the Prime Minister on January 17, 2024, and commenced commercial operations on August 12, 2024.
JV Plans to Add 10 More Workstations
The proposed joint venture plans to further expand the ISRF by adding 10 workstations.
The expansion is expected to increase the facility’s ship repair capabilities and help meet growing demand for maintenance, repair and overhaul services.
The JV will provide dry-docking, maintenance, repair and overhaul services for commercial and naval vessels.
Drydocks World to Nominate Three Directors
Although CSL and DDW will each hold 50% of the JV’s share capital, the proposed governance structure gives DDW the right to nominate three of the five directors on the JV board.
CSL will nominate the remaining two directors.
DDW will also have the right to nominate senior management personnel, including the Chief Executive Officer (CEO), Chief Financial Officer (CFO) and Chief Operating Officer (COO), as applicable.
Partnership to Bring Global Ship Repair Expertise
The partnership is intended to combine CSL’s domestic presence and shipbuilding and repair capabilities with Drydocks World’s international expertise in ship repair, vessel conversion and offshore projects.
The proposed JV is expected to facilitate:
- Adoption of global ship repair best practices
- Use of advanced technologies
- More efficient operational processes
- Improved quality of repair services
- Faster turnaround time for vessels
- Expansion of India’s ship repair capacity
- Development of infrastructure for complex and high-value ship repair projects
The partnership is also expected to support India’s maritime infrastructure objectives under the Maritime India Vision 2030 and Maritime Amrit Kaal Vision 2047.
Approvals Required for the Transaction
The proposed transaction is subject to approvals from various authorities and stakeholders.
Approvals are required from:
- Cochin Port Authority
- Ministry of Ports, Shipping and Waterways
- Department of Investment and Public Asset Management (DIPAM)
- Shareholders of Cochin Shipyard Limited
CSL said it is in the process of approaching the relevant authorities for the required approvals.
JV Agreement to Be Signed on September 11
The Joint Venture Agreement between Cochin Shipyard and Drydocks World Dubai is scheduled to be signed on September 11, 2026.
Other agreements, including the Shareholders Agreement, Business Transfer Agreement and License Agreement, will be executed after incorporation of the JV and receipt of the necessary approvals.
The company expects the proposed transaction to be implemented before the end of the current financial year.
About Drydocks World Dubai
Drydocks World – Dubai FZCO, a DP World company, is a leading ship repair and offshore service provider in the Middle East. The company has more than four decades of experience and has completed over 9,000 projects across ship repair, vessel conversion and offshore services.
About Cochin Shipyard Limited (CSL)
Cochin Shipyard Limited (CSL) is a leading Indian shipbuilding and ship repair company under the Ministry of Ports, Shipping and Waterways, Government of India. Based in Kochi, CSL undertakes construction and repair of commercial and defence vessels and operates major ship repair facilities, including the International Ship Repair Facility at Willingdon Island.
Read also: Cochin Shipyard Hands Over First FY26 Profit Share from CANSRU to Andaman & Nicobar Administration
