7% jump in Mazagon Dock, increased buying on European deals, brokerage also impressed
The value of the deal that Mazagon Dock is pursuing with the European client is not yet decided. Domestic brokerage firm ICICI Securities estimates that this contract for 6 vessels could be worth Rs 700-800 crore. Its order backlog may be around Rs 37500 crore. Mazagon Dock is creating export opportunities in the defense or commercial shipbuilding segment and now further opportunities will be created through Letter of Intent with European clients. According to industry reports, there is a lot of potential in the commercial shipbuilding segment in Europe because 2000-2500 old vessels here can be replaced with electric or hybrid vessels in 10 years. This is a big opportunity for Indian shipyards.