Mazagon Dock Shipbuilders to buy controlling stake in Colombo Dockyard
Colombo
Indian government-owned Mazagon Dock Shipbuilders Limited (MDL) has announced its decision to buy controlling stakes in Sri Lanka's Colombo Dockyard in a $52.96 million deal.
The proposed acquisition, MDL's first international venture, would give the Mumbai-based ship building yard 51 % equity in the Sri Lankan PLC that is grappling with persisting losses. A well-known ship repair, ship building, heavy engineering and offshore engineering facility in Sri Lanka, CDPLC has been saddled in debt over the years (over LKR 28 billion, or roughly ₹ 8 billion, in short and long term debt), Sri Lankan business newspaper the Daily Financial Times reported on Saturday (June 28, 2025), terming the Indian company's acquisition 'highly beneficial' for India and Sri Lanka. The transaction is expected to be completed in six months.
🔶#MDL is set to acquire a controlling stake in Colombo Dockyard PLC (CDPLC), Sri Lanka's largest shipyard, in a deal worth up to USD 52.96 million. This marks MDL's first international acquisition.Located in the Port of Colombo, CDPLC gives MDL a strategic foothold in the Indian… pic.twitter.com/B6ff1Pq053 — Mazagon Dock Shipbuilders Limited (@MazagonDockLtd) June 27, 2025
'Located in the Port of Colombo, Colombo Dockyard PLC (CDPLC) gives MDL a strategic foothold in the Indian Ocean Region-- a key maritime corridor,' the MDL said in a statement. Colombo Dockyard was not immediately available for comment.
Last year, Japanese company Onomichi Dockyard, which held majority stakes in Colombo Dockyard, decided to exit from the firm. Colombo 'urgently requested' New Delhi to 'encourage Indian investors' to consider investing in Colombo Dockyard fearing the implications of a default, according to official sources from the Indian side. As per the due process followed for a listed company, Mazagon Dock Shipbuilders Ltd was shortlisted based on their experience in shipbuilding and financial strength, the sources said.
The development, of an Indian company acquiring controlling stakes at the facility located within the Colombo Port, comes amid New Delhi's preoccupation with apparently growing Chinese outreach in the region. Over the last few years, India raised concern with Sri Lanka multiple times, over Chinese research vessel visits to its ports, prompting Colombo to impose a moratorium on foreign research vessels. President Anura Kumara Dissanayake's government has said it would evolve a new national policy on the visit of foreign vessels.
MDL is not the first Indian firm to enter the Colombo Port. In April this year, Adani Ports and Special Economic Zone Limited commenced operations at the Colombo West International Terminal (CWIT) that it is jointly developing with the Sri Lanka Ports Authority and Sri Lankan Conglomerate John Keells Holdings, adjacent to the China-backed Colombo International Container Terminal (CICT) at the Colombo Port.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
12 minutes ago
- Economic Times
Slice SFB aiming to close FY26 in the black; not looking to raise any capital
Slice Small Finance Bank has turned profitable on a monthly basis and is aiming to close FY26 in the black, a top official has said. The entity, which came out of a surprising merger between the fintech Slice and the North East SFB a few months ago, is adequately capitalised and not looking to raise any capital, its executive director Rajan Bajaj told PTI. The current focus is to build a pan-India business using the low-cost digital channels, and the entity is not interested in any more mergers, Bajaj said, adding that it may look at transitioning to a universal bank in the next five years. Before the merger, the North East SFB had reported a loss of Rs 441 crore, and Slice was also reporting losses. "We have turned profitable post-tax on a monthly basis and will close the year in profits," Bajaj said. The bank is adequately capitalised and the buffers will also be supported by the profits, he added. As per recent media reports, the bank was aiming to raise up to USD 300 million in capital. It is adding up to 3 lakh new accounts to its base on the back of digital journeys, Bajaj said, pointing out that the savings bank interest rate offering is at par with the RBI's repo rate and the fixed deposit offerings are a notch higher, which is helping in attracting customers. The pace of account opening is the fifth or the sixth fastest in the industry and at par with much bigger rivals, he said. On the lending front, it does consumer credit including unsecured personal loans and business credit which includes loans against property, he said, stressing that the focus is on serving people who may be underserved by the banking system. Aiming for a big increase in its borrowers and loan portfolio, the bank launched a UPI-based credit card on Saturday, Bajaj said, pointing out that over 30 crore of UPI users can be the potential target audience for such an offering. The bank stands to make an interchange of up to 1 per cent depending on where the credit facility is availed, and will also make revenues from rollovers and fees, he said. Bajaj said its personal credit vertical has been able to deliver credit at a cost which is a tenth of the industry courtesy digital inputs, and added that the credit costs are also 30 per cent lower than the industry average because of the analytics engine which is used for diligence. The bank also launched a 'UPI-powered bank branch' in Bengaluru, which can be used by any bank's customers for a slew of transactions, including cash deposits into any account using cash accepting machine, and then remitting the money to any mobile number, Bajaj said.
Time of India
18 minutes ago
- Time of India
AI shift: India's IT majors embrace integration over invention, upskill workforce as global market booms
AI image Indian IT giants are reorienting their business models around artificial intelligence, shedding traditional digital transformation narratives in favour of AI-native strategies focused on high-margin applications and integration — not foundational AI research. A review of FY25 annual reports of Tata Consultancy Services (TCS), Infosys , Wipro and Tech Mahindra reveals a clear pattern: India's top tech firms are positioning themselves as leading AI integrators, rather than developers of core generative AI models, according to PTI. This pivot comes amid rising global demand for enterprise AI solutions, projected to help push the worldwide AI market to an estimated $1.3 trillion within the next decade. TCS's annual report is themed 'The Perpetually Adaptive Enterprise,' built around an 'AI-First approach.' Infosys's strategy is more direct, under the theme 'AI Your Enterprise,' while Wipro underscores its enabler role with 'Helping Clients Build AI-Powered Future-Ready Businesses.' Tech Mahindra's report similarly highlights 'AI Delivered Right.' 'Let us think of AI as a gifted child prodigy born and brought up in a library,' said Anand G Mahindra, chairman of Mahindra Group. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Run Your Business Like a Pro - Top Trending Accounting Software (Check Now) Accounting ERP Click Here Undo 'It has access to all the knowledge in the world. It absorbs everything—information, fact, fiction, truth, untruth, every pattern of human behaviour. Used well, it can create extraordinary value, particularly for businesses like TechM,' he said in the company's annual update, PTI quoted. Workforce upskilling has become a key focus area. TCS reported that over 1 lakh of its employees have acquired higher-order AI/ML and GenAI skills. Infosys said over 2.7 lakh of its workforce is now 'AI-aware.' Wipro and Tech Mahindra are witnessing similar reskilling trends as they transition into AI-first firms. Infosys chairman Nandan Nilekani stressed the urgency of adapting legacy systems for AI compatibility. 'Enterprises must now create a data architecture so that all the firm's data is consumable by AI in a holistic manner,' he said. Nilekani also pushed for enterprises to build 'AI foundries and factories' to fuel innovation and scale. Rather than building their own large language models (LLMs) to rival OpenAI or Google, Indian firms are strengthening partnerships with hyperscalers like Microsoft, Google and AWS, as well as chipmakers such as Nvidia. They are establishing innovation hubs—such as TCS's AI Labs and Infosys's AI Foundry—to help clients experiment with and deploy AI in controlled environments. TCS chairman N Chandrasekaran called generative AI 'a civilisational shift' and said the company will create a 'large pool' of AI agents to work alongside humans in what he termed a 'human-AI' delivery model. Wipro, meanwhile, is realigning its Global Business Lines to sharpen its focus on AI-powered, consulting-led client solutions. 'This realignment will allow us to serve our clients better, enabling us to deliver tailored, high-impact transformation,' said Wipro CEO Srini Pallia. While foundational model development remains the domain of global tech giants, Indian IT leaders are betting that their ability to embed AI into the core of enterprise operations — from finance to manufacturing to customer engagement — will create the most durable long-term value. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
22 minutes ago
- Time of India
After failed listing attempts in the US and UK, China's Shein to file confidentially for Hong Kong IPO: What makes this a rare move for Chinese company
Shein, the China-founded fast-fashion giant, is reportedly set to file a draft prospectus confidentially for an initial public offering (IPO) in Hong Kong, potentially as early as this week, according to a report in Reuters that quotes three sources familiar with the matter. The move, as per Reuters exclusive report, could make Shein one of the largest IPOs in Hong Kong this year. The IPO also reportedly marks a rare departure from the city's norm of public IPO filings and follows Shein's failed listing attempts in the U.S. and London. What is confidential IPO filing The confidential filing, expected by Monday (June 30), would allow Shein to shield sensitive financial and operational details during the regulatory review process, a practice more common in the U.S. than in Hong Kong. This approach requires a waiver from the Hong Kong stock exchange's standard listing rules, which typically mandate public disclosure of IPO documents. The exchange may grant such exemptions for secondary listings or spinoffs from companies listed on recognized overseas exchanges like the NYSE or Nasdaq. Shein, however, is pursuing a primary listing, making the confidential approach unusual for the city, where high-profile IPOs like Xiaomi and Meituan involved public filings. Shein, valued at $66 billion in its 2023 pre-IPO fundraising round, must secure approval from the China Securities Regulatory Commission (CSRC) before proceeding with the Hong Kong IPO . The company will need to file with the CSRC within three days of submitting its Hong Kong application, in line with Chinese regulations for offshore listings. It remains unclear whether Shein has received preliminary approval from the CSRC. The Hong Kong stock exchange and Shein declined to comment, and the CSRC did not respond to inquiries. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like USDJPY đang đi lên không? IC Markets Đăng ký Undo How Shein has been impacted by the US-China trade war The filing comes as Shein navigates challenges from the U.S.-China trade war, with new U.S. tariffs on Chinese goods and the end of duty-free treatment for e-commerce parcels impacting its largest market. Shein, which sells low-cost apparel like $5 dresses and $10 jeans in 150 countries, shifted its headquarters to Singapore in 2022 but relies on a network of 7,000 Chinese suppliers, subjecting it to Beijing's IPO oversight. The company has also faced allegations of forced labor in its supply chain, which it denies, stating it prohibits suppliers from using Chinese cotton in U.S.-bound products. When Shein's attempt to list in the New York exchange failed Shein's pivot to Hong Kong follows an unsuccessful bid to list in the U.S. in late 2023. The company filed for a New York IPO but failed to secure CSRC approval, Reuters previously reported. The attempt was further complicated by U.S. regulatory scrutiny and trade tensions, including accusations from lawmakers and activists that Shein's supply chain involves forced labor in Xinjiang, a claim the company has rejected. The U.S. ban on imports linked to forced labor added pressure, and Shein's valuation dropped by a third from 2022 to 2023 amid these challenges. After the U.S. listing stalled, Shein explored a London IPO but was unable to gain Chinese regulatory approval, prompting the shift to Hong Kong as a more viable listing venue. A successful Hong Kong IPO could bolster the city's status as a global fundraising hub, which saw $12.8 billion in IPOs and secondary listings in the first half of 2025. Shein's listing, however, hinges on navigating regulatory hurdles and addressing concerns about its supply chain and the impact of U.S. tariffs, which could influence its final valuation. AI Masterclass for Students. Upskill Young Ones Today!– Join Now
