Punj Lloyd to buy 25.1% stake in Pipavav Shipyard Ltd

New Delhi, Aug 2 (UNI) Engineering and construction firm Punj Lloyd Ltd today said it has acquired 25.1 per cent stake in Gujarat-based Pipavav Shipyard Ltd (PSL) for Rs 403 crore.

The proposed investment by the company will support the growth of PSL in the offshore sector and will provide the company access to capabilities to serve market more effectively.

PSL will provide the company access to fabrication facilities for platforms, SBMs, rigs and jackets to exploit the opportunities in this sector, a statement said.

Punj Lloyd expects to gain through this association given the increasing demand for offshore facilities in the country and abroad.

Growth in the shipyard industry is expected to be over 30 per cent per annum in the next few years.

Punj Lloyd is currently executing the Heera Field Redevelopment project for ONGC. The facility at Pipavav Shipyard can also be used for fabrication of vessels for petrochemicals and refineries.

UNI