Shares of Garden Reach Shipbuilders and Engineers Ltd (GRSE) soared as much as 4.9% on Thursday, 5 June, after the business announced the signing of a memorandum of understanding (MoU) with Germany-based Carsten Rehder.

According to an exchange filing, the MoU is for the building of four multi-purpose vessels, with a definitive contract due by 31 August.

GRSE announced that it had signed memorandums of intent and understanding with a number of worldwide partners, signalling a strategic shift to broaden its pipeline beyond defence systems.

According to the filing, GRSE signed a memorandum of intent with Carsten Rehder Schiffsmakler und Reederei for four more 7,500 DWT (deadweight tonnage) multi-purpose vessels. These ships will join the eight boats already under construction at GRSE’s Kolkata yard. The business stated that the new vessels will have hybrid propulsion systems and meet the most recent cybersecurity standards.

In a related move, GRSE signed an MOU with M/s Aries Marine, a Dubai-based independent engineering and design firm that specializes in offshore platforms and vessels. This collaboration aims to support GRSE in expanding its global presence in the offshore industry by developing Aries platform designs and manufacturing them at GRSE facilities.

On the same day, GRSE signed an MoU with a worldwide engine manufacturer, boosting its international relationships even more.

At 12:10 pm, the shares of Garden Reach were trading 3.52% higher at Rs 3,474.70 on NSE. 

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