Garden Reach Shipbuilding Stock Soars To Record-high On $21 Mn Deal With Bangladesh

Stocks of Garden Reach Shipbuilders and Engineers (GRSE) skyrocketed to its record-high with over 10 per cent gain in the Monday trading session after the firm signed a contract for construction of an advanced ocean-going tug for the government of the People's Republic of Bangladesh.

GRSE stock traded at Rs 2,309 with 10 per cent gain in the afternoon session on the National Stock Exchange (NSE). Notably, in the last three months GRSE stock delivered 188 per cent returns. 

GRSE signed an agreement with the Directorate General Defence Purchase, Ministry of Defence, Government of the People's Republic of Bangladesh for the construction of an advanced Ocean-Going Tug. 

The order worth USD 21 million is expected to be delivered in 24 months.

The overall length (LOA) of the tug will be nearly 61 metres, and the vessel will be about 15.80 metres wide with a depth nearly 6.80 metres. 

The tug's primary roles will include towing of ships at sea, both alongside and astern, assist them during berthing and casting off as well as help them in turning through pushing and pulling. 

The vessel will also have the capability to carry out rescue and salvage operations at sea. While, its secondary roles will be to provide firefighting support to ships at sea and limited pollution control measures. 
 

The platform will be extremely robust with a capability to operate even at sea state 5 (wind speeds of 17-21 knots and wave heights of 2-3 metres) with dynamic positioning - 2 system capability. 

This is an advanced computer-controlled system that allows a ship to maintain its heading and position without the use of mooring lines or anchors.

A few weeks ago, GRSE had signed another contract with Bangladesh for delivery of a trailing suction hopper (TSH) dredger. More recently, on 22 June GRSE entered into a contract with a German company for the delivery of at least four multi- purpose cargo vessels.