India Sells 5.04% Stake in Cochin Shipyard via OFS

The Government of India divested a 5.04% stake in state-run Cochin Shipyard Ltd (CSL) through an Offer for Sale (OFS) between July 7 and July 8, 2026. The process began with a base offer of 2.52% of paid-up equity at a floor price of Rs 1,400 per share, representing a discount of approximately 7% relative to the closing price on July 6.

Bidding opened for non-retail investors on July 7, resulting in an oversubscription of 3.52 times. In response to this strong demand, the government exercised its full green-shoe option, doubling the total stake offered to 5.04%, involving over 1.32 crore shares. Retail investors and eligible employees were permitted to bid on July 8. The full sale is expected to raise approximately Rs 1,800 crore.

The transaction marks the seventh disinvestment by the center in the current financial year. It supports a budgeted target of Rs 80,000 crore from PSU disinvestment and asset monetization for FY27. Following the announcement and subsequent bidding, Cochin Shipyard shares on the BSE saw declines ranging between 2% and 4%.