Bidding for Pipavav Shipyard submitted

The final bids in a bankruptcy auction for India’s largest private shipyard have been submitted, and the list of potential buyers has narrowed to three unconventional owners – a global container terminal operator, a steelmaker and the world’s biggest broker for vessel demolition sales.
Pipavav Shipyard, founded in 1997, is the largest private shipbuilding firm in India and the first non-government yard in the nation to receive a naval shipbuilding order. Indian conglomerate Reliance Group took control of the yard in 2016 after a debt restructuring, but by 2019, Pipavav – renamed Reliance Naval and Engineering Ltd (RNaval) – was again unable to make payments on its loans. Its bankers initiated bankruptcy proceedings to recover an estimated $1.2 billion in debt, and the Indian Navy canceled its order for a series of patrol vessels. The firm has been on the auction block since late last year, but due to COVID-19 disruption, the sale has been extended.