The government intends to offload up to a five percent stake in Cochin Shipyard via an Offer for Sale (OFS). Trading is scheduled to begin on Tuesday.
Offer for Sale Details
Arunish Chaula, Secretary of the Department of Investment and Public Asset Management (DIPAM), announced on social media platform X that the government is launching an offer for sale in Cochin Shipyard Ltd (CSL). The base offer stands at 2.52 percent of paid-up share capital, with an additional green-shoe option of 2.52 percent available in case of excess demand.
Terms and Pricing
The offer for sale opens to non-retail investors on July 7, 2026, while retail investors can apply starting July 8, 2026. The minimum price per share is set at 1400 rupees, representing a 7 percent discount compared to Monday's closing price on the BSE. Cochin Shipyard shares closed at 1504.75 rupees on Monday, which was 1.25 percent lower than the previous close on the BSE.
Context of Government Sales
Currently, the government holds a 67.91 percent stake in CSL. In the current fiscal year, the government has already executed sales of stakes through OFS in six public sector undertakings: Central Bank of India, Coal India, NHPC, NLC India, GIC, and IRFC, generating cumulative revenue of 18,561 crore rupees. For the entire fiscal year, the government plans to raise 80,000 crore rupees through the privatization of public sector enterprises and asset monetization.