Mazagon Dock shares climb 6% amid report of Rs 99,000 crore defence deal

Mazagon Dock Shipbuilders Ltd on Thursday snapped a three-day losing run and climbed 6 per cent amid reports involving Rs 99,000 crore defence deal. The stock gained as Indian Navy was reportedly looking to finalise deal for six German submarines from Thyssenkrupp Marine Systems. The submarines would be constructed in Mumbai by Mazagon Dock, Times NOW reported. Business Today could not independently verify it at the time of writing this report.

The stock rose 6.69 per cent to hit a high of Rs 2,311.35 on BSE. Naval acquisitions typically involve large-value contracts and are inherently susceptible to procedural delays, given the evolving geopolitical landscape and rapid technological changes.

Germany’s ThyssenKrupp Marine Systems (TKMS) had in 2025 begun contract negotiations with Mazagon Dock Shipbuilders Limited for Project 75(I), a flagship initiative to build six advanced conventional submarines in India. The deal was expected to be the country’s largest defence procurement to date.

As part of Project 75(I), six state-of-the-art submarines designed by TKMS were to be license-built in India by MDL. The project was expected to strengthen industrial and strategic ties between India and Germany, India Today reported in September last year.

Antique said Indian defence shipbuilding industry is poised for a significant order inflow, backed by the Indian Navy and Indian Coast Guard's ambitious fleet expansion plans - each targeting a fleet size of around 200 ships. 

Beyond defence, it said, India's commercial shipbuilding segment also presents a sizeable opportunity, estimated at Rs 12,000-15,000 crore per year, with key growth areas including container vessels, coastal shipping, dredgers, ferries & cruises, and oil & gas carriers.