Garden Reach Shipbuilders shares snap two-day losing streak, rise 5% on signing two MoUs

In a filing to the stock exchange, the shipbuilding company said that it has signed non-binding memorandum of understanding (MoUs) with Merlinhawk Aerospace Private Limited and Kerala State Electronics Development Corporation Limited to develop various advanced technologies for naval applications and futuristic technologies in various fields related to underwater surveillance.

As per the first MoU signed with Merlinhawk Aerospace Private Limited, the company will provide Composite doors and hatches for naval ships, Counter UAV solutions using EDFCS (Electric Ducted Fan Control System) and CRN 91 (likely a radar system), EOIRST (Electro-Optical Infrared Search and Track) for surveillance, Composite masts for Indian Navy ships and Hydrogen fuel cells for power generation in maritime applications.

The second MoU, signed with Kerala State Electronics Development Corporation Limited, is aimed at developing futuristic technologies in various fields related to underwater surveillance to achieve self-reliance in certain areas.

Garden Reach Shipbuilders shares rallied as much as 4.99% to hit the upper circuit limit of ₹2,578.1 apiece on the NSE, ending a two-day losing streak.

Last week, Garden Reach Shipbuilders secured a project worth ₹840 crore from the National Centre for Polar and Ocean Research (NCPOR) under the Ministry of Earth Sciences. The Kolkata-based company will construct and deliver an ocean research vessel (ORV), as per the deal signed on July 16. The company informed the bourses that the project would be executed in the next 42 months.

Garden Reach Shipbuilders specialises in building a wide range of vessels, including warships, patrol vessels, survey ships, and commercial ships.