GRSE Signs MoU with SWAN Defence to Strengthen India’s Commercial Shipbuilding Capabilities

Garden Reach Shipbuilders & Engineers Ltd (GRSE), a leading defence public sector undertaking, has signed a Memorandum of Understanding (MoU) with SWAN Defence and Heavy Industries Ltd to enhance indigenous capabilities in the commercial shipbuilding sector. The collaboration aims to support national maritime interests while targeting international clients.

The two shipyards will work together on a non-exclusive basis, focusing on the construction of commercial vessels and offshore structures. By leveraging a shared and complementary vendor ecosystem, the partnership aims to ensure faster project execution and cost optimisation.

Massive Market Opportunity Ahead

India’s commercial shipbuilding sector is poised for significant growth, with the market estimated to offer opportunities worth ₹12,000–15,000 crore annually over the next 12–15 years. Key segments identified for development include coastal shipping, dredgers, ferries and cruise vessels, and gas carriers.

This collaboration is expected to play a critical role in meeting the growing demand in these segments, both domestically and globally, while supporting India’s self-reliance goals under the ‘Aatmanirbhar Bharat’ initiative.

GRSE Eyes Portfolio Diversification

Currently, 85% of GRSE’s revenue is derived from shipbuilding activities, primarily in the defence sector. The MoU with SWAN Defence marks a strategic step towards diversifying its portfolio and establishing a stronger presence in the commercial maritime domain.

By expanding into the commercial space, GRSE seeks to utilise its expertise and infrastructure to capture emerging market opportunities and contribute to India’s growing stature as a shipbuilding hub.

Stock Performance 

On April 09, 2025, Garden Reach Shipbuilders & Engineers share price traded 2.26% lower at ₹1529.00 at 9:46 AM (IST). Garden Reach Shipbuilders & Engineers’ share price reached a 52-week high of ₹2,834.60, and a 52-week low of ₹820.05. As per BSE, the total traded volume for the stock stood at 0.14 lakh shares with a turnover of ₹2.17 crores.

According to exchange data, Garden Reach Shipbuilders & Engineers shares are trading at a price-to-earnings (P/E) ratio of 44.28x, based on its trailing 12-month earnings per share (EPS) of ₹34.46, and a price-to-book (P/B) ratio of 9.49.

Conclusion

The GRSE-SWAN partnership marks a pivotal move towards strengthening India’s commercial shipbuilding capabilities. By combining expertise and resources, the collaboration not only aligns with the nation’s ‘Aatmanirbhar Bharat’ vision but also positions both companies to tap into lucrative domestic and global markets.

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