New Delhi: In its first overseas acquisition, Mazagon Dock Shipbuilders Limited (MDL) has secured a 51% controlling stake in Colombo Dockyard PLC (CDPLC) for approximately ₹249.5 crore ($26.8 million).
The Mumbai-based defence public sector undertaking announced on April 9 that the deal brings Sri Lanka’s largest shipyard under its operational control, marking a significant step in India’s maritime expansion strategy. The acquisition reportedly involves the purchase of shares from Japan’s Onomichi Dockyard.
The move is seen as strategically important for India amid China’s growing maritime presence in Sri Lanka. Beijing holds a 99-year lease over Hambantota Port and has frequently docked naval vessels in Colombo, developments that have raised concerns in New Delhi. MDL’s investment is being viewed as a geopolitical counterbalance in the Indian Ocean Region.
Following the acquisition, CDPLC said its board has been reconstituted to include MDL nominees. Jagmohan (Retd), Chairman and Managing Director of MDL, has been appointed non-executive chairman of CDPLC. Other MDL representatives on the board include Biju George and Ruchir Agrawal, while Thimira S. Godakumbura continues as Managing Director and CEO.
Describing the deal as a milestone, Jagmohan said it represents a major step forward in maritime cooperation between India and Sri Lanka. He expressed confidence that the partnership would help CDPLC achieve around 20% growth in revenue and profits during the current financial year.
Listed on the Colombo Stock Exchange, CDPLC is a key player in Sri Lanka’s maritime industry, serving commercial and government clients across Asia, West Asia, and Africa.
With MDL’s backing, CDPLC has already secured its largest-ever shipbuilding contract—a $150 million deal with Orange Marine for the construction of two advanced cable-laying and repair vessels.
Additionally, CDPLC signed a memorandum of understanding with Dredging Corporation of India Limited, making it the preferred partner for drydocking, repair, and maintenance services. The agreement was signed in the presence of India’s High Commissioner to Sri Lanka, Santosh Jha.
MDL is also in discussions with the Shipping Corporation of India to route vessel repair and refit work to CDPLC, further strengthening maritime cooperation between the two countries.
