Colombo Dockyard

Colombo Dockyard is a Sri Lankan shipbuilding and marine-engineering company headquartered within the Port of Colombo. Established in 1974, it developed around the strategic advantages of Colombo's deep-water harbor and became one of Sri Lanka's principal industrial facilities serving the maritime sector. Its activities cover the construction, conversion and repair of military and civilian vessels, as well as heavy engineering and offshore engineering work. The company serves both domestic and international customers. In Sri Lanka, its work has included patrol craft, fisheries-protection vessels, coastal-surveillance vessels, landing craft, passenger vessels, tugboats and other ships for government and maritime operators. Its military and government-related customer base has included the Sri Lanka Navy, the Sri Lanka Coast Guard and the Maldivian Coast Guard. Commercial work has covered offshore-support vessels, bulk carriers, cable-laying vessels, platform-supply vessels and ship-repair projects for international shipping, offshore and dredging companies. A significant element of Colombo Dockyard's development has been its technical and commercial relationship with Japan's Onomichi Dockyard. The two companies have operated in joint collaboration since 1993, and Colombo Dockyard marked the relationship's twentieth anniversary in 2013. The partnership connected the Sri Lankan yard with Japanese shipbuilding expertise and helped support its participation in international vessel projects. The yard operates four graving dry docks and repair-berth facilities. Its largest dry dock has a stated capacity of 125,000 tonnes deadweight, allowing the company to handle substantial vessels in addition to smaller newbuild and repair assignments. Colombo Dockyard has also held ISO 9001:2015 quality certification through Lloyd's Register Quality Assurance, reflecting the use of a formal quality-management system in its engineering and production operations. International project work has included the construction of Eco bulk carriers for Norway's Misje Eco Bulk in 2020. The company also built buoy-tender vessels intended for ports in Iraq, in a project involving Toyota Tsusho Corporation of Japan and assistance from the Japan International Cooperation Agency. Other reported project categories include anchor-handling tug supply vessels, fast patrol vessels, offshore-support vessels and an undersea cable-laying vessel. The company faced a publicly reported financial crisis in late 2024. In December 2024, its two Japanese directors resigned while Sri Lankan directors remained on the board. With assistance from the Sri Lankan government, Colombo Dockyard sought a strategic investor capable of acquiring a 51 percent stake and supporting a rights issue intended to raise approximately US$30 million. The process reportedly attracted about 40 expressions of interest, after which five parties were shortlisted. In June 2025, India's Mazagon Dock Shipbuilders announced a decision to acquire a controlling 51 percent interest in Colombo Dockyard for a transaction valued at up to approximately 450 crore Indian rupees, subject to the stated completion process. The proposed transaction was presented as a way for Mazagon Dock Shipbuilders to expand its shipbuilding and ship-repair presence while providing Colombo Dockyard with strategic and financial support. The ownership and governance position should be verified against the latest company and regulatory filings.

Colombo Dockyard began operations in 1974 at the Port of Colombo, Sri Lanka. Its location inside a deep-water harbor provided a practical base for ship repair, vessel construction and marine engineering. From its initial industrial role, the company expanded into a broader engineering organization covering newbuilding, repair, heavy engineering and offshore engineering. The yard's work has served both Sri Lankan institutions and overseas customers. Domestic and regional projects have included naval and coast-guard craft, fisheries-protection vessels, coastal-surveillance vessels, landing craft, passenger vessels and firefighting vessels. Its reported military and government customers include the Sri Lanka Navy, the Sri Lanka Coast Guard and the Maldivian Coast Guard. Commercial customers have included ship-management companies, offshore operators, dredging groups, shipping companies and energy-related marine businesses. In 1993, Colombo Dockyard began operating in joint collaboration with Japan's Onomichi Dockyard. The relationship became a long-running feature of the company's development and was publicly commemorated on its twentieth anniversary on 26 March 2013. The collaboration linked the Colombo yard to Japanese technical and commercial experience while supporting its ability to pursue vessels for international clients. Colombo Dockyard's production and repair infrastructure includes four graving dry docks and repair berths. The largest dry dock is reported to have a capacity of 125,000 tonnes deadweight. This infrastructure supports work on vessels ranging from smaller patrol and harbor craft to larger commercial and offshore ships. The company has also been accredited to ISO 9001:2015 quality standards by Lloyd's Register Quality Assurance. The yard's reported projects illustrate the breadth of its capabilities. Vessel types have included patrol craft, fisheries-protection and coastal-surveillance vessels, fast landing craft, passenger vessels, tugboats, anchor-handling tug supply vessels, multipurpose platform-supply vessels, fast patrol vessels, offshore patrol vessels and undersea cable-laying vessels. In 2020, Colombo Dockyard constructed Eco bulk carriers for Norway's Misje Eco Bulk, a subsidiary of Kåre Misje & Co. It also built buoy-tender vessels intended for Iraqi ports through Toyota Tsusho Corporation, with assistance from the Japan International Cooperation Agency. The company entered a period of financial stress in 2024. A financial crisis was reported in November, followed by the resignation of two Japanese directors on 6 December. The company's Sri Lankan directors remained, and Colombo Dockyard, with assistance from the Sri Lankan government, began seeking a strategic investor. The proposed solution involved the sale of a 51 percent interest previously associated with Onomichi Dockyard and support for a rights issue intended to raise about US$30 million. The investor process reportedly generated around 40 expressions of interest and produced a shortlist of five candidates. On 27 June 2025, India's Mazagon Dock Shipbuilders announced a proposed acquisition of a controlling 51 percent interest in Colombo Dockyard. The disclosed transaction value was up to approximately 450 crore Indian rupees, or about US$52.96 million based on the cited reporting. The proposal was positioned as both a strategic expansion for Mazagon Dock Shipbuilders and a source of financial and operational support for Colombo Dockyard. Later ownership, completion and board changes require confirmation from current corporate and regulatory records.

1. 2025Mazagon Dock Shipbuilders announces proposed acquisition

   Mazagon Dock Shipbuilders announced a proposed purchase of a 51 percent controlling stake in Colombo Dockyard for up to approximately 450 crore Indian rupees.

   Source
2. 2024Financial crisis and investor search

   A financial crisis was reported, followed by the resignation of two Japanese directors and a strategic-investor process supported by the Sri Lankan government.

   Source
3. 2020Eco bulk carriers and buoy tenders constructed

   The yard built Eco bulk carriers for Norway's Misje Eco Bulk and buoy-tender vessels for Iraqi ports through Toyota Tsusho, with JICA assistance.

   Source
4. 2013Twentieth anniversary of the Onomichi collaboration

   Colombo Dockyard and Onomichi Dockyard marked twenty years of collaboration on 26 March 2013.

   Source
5. 1993Collaboration with Onomichi Dockyard begins

   The company began a joint collaboration with Japan's Onomichi Dockyard, establishing a long-term Japanese technical and commercial relationship.

   Source
6. 1974Operations established at the Port of Colombo

   Colombo Dockyard began operations as a Sri Lankan shipbuilding and marine-engineering facility located within Colombo's deep-water port.

   Source

A full-service South Asian shipyard combining new vessel construction, ship repair, heavy engineering and offshore engineering, with capabilities spanning government, military, commercial shipping and offshore customers.

• Military and patrol vesselsDefense shipbuilding

  Colombo Dockyard builds patrol craft and other security vessels for maritime-government customers. Reported examples include Jayasagara-class patrol craft, fast patrol vessels, coastal-surveillance vessels, fisheries-protection vessels and offshore patrol vessels. These projects support naval, coast-guard and fisheries-enforcement missions in Sri Lanka and overseas markets.

• Landing craft and passenger vesselsCommercial and utility vessel construction

  The yard has constructed landing craft and passenger vessels for coastal and short-sea transportation. Reported designs include 29-metre landing craft, fast landing craft and passenger vessels configured for capacities of approximately 250 and 400 passengers.

• Tugboats and anchor-handling vesselsHarbor and offshore vessels

  Colombo Dockyard produces harbor and offshore support vessels, including firefighting vessels, bollard-pull tugs and anchor-handling tug supply vessels. Reported examples include vessels rated at 65, 80 and 130 tonnes of bollard pull, serving port operations, towing and offshore logistics.

• Offshore support and platform-supply vesselsOffshore engineering

  The company has built multipurpose platform-supply vessels and other offshore-support ships for operators in the energy and marine-services sectors. These vessels are designed to transport equipment, supplies and personnel and to support offshore construction or production activity.

• Eco bulk carriersCommercial shipbuilding2020

  In 2020, Colombo Dockyard built Eco bulk carriers for Misje Eco Bulk of Norway, part of Kåre Misje & Co. The project demonstrated the yard's ability to deliver commercial cargo ships for an international owner and to participate in vessel programs marketed around improved operating efficiency.

• Buoy-tender vesselsPort and aids-to-navigation vessels2020

  The yard constructed buoy-tender vessels intended for ports in Iraq. The project was carried out through Toyota Tsusho Corporation of Japan and received assistance from the Japan International Cooperation Agency, illustrating Colombo Dockyard's role in specialized port-support vessel construction.

• Undersea cable-laying vesselSpecialized commercial vessel

  A reported VARD 9-01 project involved construction of a 111.3-metre undersea cable-laying vessel. This type of ship supports the deployment and maintenance of submarine telecommunications or power cables and represents a more specialized segment of Colombo Dockyard's international newbuilding work.

• Ship repair and dry-dock servicesMarine services1974

  Ship repair is a core business alongside new construction. Four graving dry docks, repair berths and the largest dock's reported 125,000-tonne deadweight capacity enable the yard to service a broad range of commercial, offshore, government and military vessels. The company also undertakes related heavy and marine engineering work.

• 2025Proposed sale of a controlling stake to Mazagon Dock ShipbuildersM&A

  Mazagon Dock Shipbuilders sought to expand its shipbuilding and ship-repair activities while Colombo Dockyard was looking for financial and strategic backing after its 2024 difficulties.

  What changed. On 27 June 2025, Mazagon Dock Shipbuilders announced a proposed acquisition of 51 percent of Colombo Dockyard. The disclosed value was up to approximately 450 crore Indian rupees, equivalent in the cited material to about US$52.96 million.

  Aftermath. The transaction was described as subject to completion within six months. Subsequent completion, governance and capital-infusion claims require verification from official filings.

  Proposed acquisition value. Up to INR 450 crore (Announced 27 June 2025)

  Source
• 2024Seek a strategic investor and rights-issue supportStrategy

  Following the reported financial crisis and the departure of two Japanese directors, Colombo Dockyard required capital and strategic support. The company and the Sri Lankan government pursued an investor for a 51 percent stake and assistance with a proposed rights issue.

  What changed. The company conducted an open investor process through Sri Lankan diplomatic channels. Approximately 40 expressions of interest were reportedly received, with five candidates eventually shortlisted.

  Aftermath. The process led to Mazagon Dock Shipbuilders being identified as a proposed strategic acquirer in 2025. The final ownership outcome should be checked against current filings.

  Proposed rights issue. (2024)

  Source

• 2025Mazagon Dock Shipbuilders announces proposed controlling investment

  Mazagon Dock Shipbuilders disclosed on 27 June 2025 that it intended to acquire a 51 percent stake in Colombo Dockyard in a transaction valued at up to approximately 450 crore Indian rupees.

  M&A
  Source
• 2024Colombo Dockyard financial crisis reported

  A financial crisis at Colombo Dockyard was publicly reported in November 2024. The company subsequently sought government assistance and a strategic investor to stabilize the business.

  Other
  Source
• 2024Japanese directors resign during restructuring process

  Two Japanese directors resigned from Colombo Dockyard on 6 December 2024 while Sri Lankan directors remained in place amid the company's financial difficulties.

  Leadership change
  Source
• 2024Strategic-investor process launched

  With support from the Sri Lankan government, Colombo Dockyard sought an investor for a 51 percent stake and support for a proposed rights issue. Approximately 40 expressions of interest were reportedly received and five candidates were shortlisted.

  M&A
  Source

1. Colombo Dockyard
2. Colombo Dockyard official website