Shipyard may issue IPO for expansion funds

Staff Reporter

Foundation laid for maritime varsity campus

KOCHI: The Cochin Shipyard Limited may go in for Initial Public Offering (IPO) for raising funds for its expansion programmes, said K. Mohandas, Secretary, Union Ministry of Shipping.

He was speaking after laying the foundation stone for the Kochi campus of the Indian Maritime University at Willingdon Island on Monday.

The proposal is to go in for fresh equity of shares of 10 per cent. This is expected to increase the capital base of the company and generate sufficient funds for the expansion programmes. Some formalities, including policy decisions, need to be completed before going in for the IPO, he said when asked about the time of the launch.

There is also a proposal for classifying shipbuilding as a high priority sector considering that it creates a large number of employment opportunities. This classification will also have an impact on the IPO, Mr. Mohandas said.

Vallarpadam project

It may take two more months for the road connectivity for the Vallarpadam International Transhipment Container Terminal project to be completed. It was expected to be completed by March 31. However, the two-lane road project would be completed before Onam, he said.

DP World, which is implementing the project, has stated that the global economic crisis has not affected the Vallarpadam project, he said.

The Cochin Port Trust has allotted 10 acres at a concessional rate for setting up the Kochi centre of the maritime university.

The university at present offers Diploma in Nautical Sciences with an intake of 40 candidates.

Later, B.Sc. in ship repair and shipbuilding, MBA in Port and Shipping Management and Postgraduate Diploma in Marine Engineering would be offered.

N. Ramachandran, Chairman, Cochin Port Trust and P. Vijayan, Vice-Chancellor of the University, were among those who attended the ceremony.

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