Shares of BLS International Services Ltd. dropped by 4% after reaching a day’s high of Rs 474.40 on 13th September. This decline occurred despite the company’s announcement of its acquisition of a Dubai-based advisory firm to enhance its citizenship and residency program offerings.

Although the shares of BLS E-Services, a listed subsidiary, are up sharply by over 7% as of now.

At the AGM on 12th September, the company declared an interim dividend of 50 paise per share and a final dividend of 50 paise per share for FY24. Shikhar Aggarwal was re-appointed as Joint MD for another three years.

The company also approved raising up to Rs 2,000 crore through a share issue, as decided at the AGM.

The firm’s acquisition of Dubai-based advisory firm Citizenship Invest (CI) is subject to regulatory approvals and will be funded through internal accruals. CI specialises in long-term visas through citizenship and residency programs.

This acquisition will expand BLS’ Visa and Consular services and align with its strategic vision of enhancing synergies and boosting EBITDA. Shikhar Aggarwal, Joint MD, noted that CI’s high application success rate and revenue per application fit well with BLS’s customer-centric approach.

Visa and Consular Services made up 81% of BLS’ FY24 revenue. The firm expects growth with a projected 1.5-fold increase in global air passenger traffic by 2030, reaching 3.2 billion annually.

Mordor Intelligence forecasts aircraft deliveries will rise from 8,100 (2017-2023) to over 12,800 (2024-2030), boosting demand for visa services.

The firm plans to cross-sell digital services through its BLS Store platform, which is part of BLS E-Services.

At 1:35 PM, the shares of BLS International were trading 4.11% lower at Rs 438.45, while the shares of BLS E-Services were trading 6.92% higher at Rs 255.81 on NSE.

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