Shares of Mazagon Dock Shipbuilders fell sharply by nearly 10% on Monday, continuing their steep slide for the second straight session after the government announced a 4.83% stake sale in the defence public sector company. The stock dropped ₹239.75 to ₹2,302.45 on the NSE, significantly below the ₹2,525 floor price set for the Offer for Sale (OFS).
The government is offloading 1.14 crore equity shares, or a 2.83% stake, with a greenshoe option for an additional 2%, bringing the total offer size to 4.83%. The OFS opened for institutional investors on Friday and saw robust demand, receiving bids worth over ₹3,700 crore. The issue opens for retail investors today.
Investors are reacting to the heavy supply pressure and profit-booking after the recent rally in PSU defence stocks. The ongoing market weakness, driven by global concerns over recession fears and the Trump tariff impact, has further weighed on sentiment.
With a market cap of ₹926.53 crore and a year range of ₹1,045 – ₹2,930, the stock had seen strong momentum before this correction. However, it remains in focus as part of India’s defence manufacturing thrust.
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