Mazagon Dock Shipbuilders shares surged sharply over 6% in early trade on Thursday after reports indicated that the Indian Navy is close to finalising a major submarine acquisition programme involving the state-run defence shipyard.
According to media reports, the Indian Navy is nearing the finalisation of a submarine deal valued at around ₹99,000 crore with Germany’s Thyssenkrupp Marine Systems. The submarines are expected to be built in Mumbai in partnership with Mazagon Dock Shipbuilders, which would act as the domestic construction partner for the project.
The proposed contract is notable in size, particularly when compared with the company’s current market capitalisation of around ₹80,000 crore, which is lower than the estimated value of the potential submarine programme.
If the project proceeds as reported, it could become one of the largest defence manufacturing orders for Mazagon Dock Shipbuilders and may provide long-term order visibility for the company. Such a project could also further strengthen the company’s role in India’s naval shipbuilding ecosystem.
Mazagon Dock Shipbuilders is one of India’s key defence shipyards and has executed several projects for the Indian Navy, including submarines and various classes of warships under domestic defence programmes.
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