BLS International has made headlines with its recent acquisition of Citizenship Invest, a Dubai-based advisory firm specializing in citizenship and residency programs.

This strategic move is aimed at enhancing BLS International's offerings in these areas. Following the announcement, shares of BLS E-Services, a listed subsidiary, experienced a notable surge, climbing over 7 percent in mid-day trade.

This uptick comes just a day after BLS International’s stock reached a 52-week high.

Despite this positive development for BLS E-Services, BLS International’s shares have seen a decline of more than 3 percent in mid-day trading.

This drop occurred shortly after the company’s $31 million (approximately Rs 260 crore) acquisition deal was made public.

In a related update from the company's annual general meeting (AGM) held on September 12, BLS International declared an interim dividend of 50 paise per share for the fiscal year 2024.

The company also announced a final dividend of the same amount.

Additionally, Shikhar Aggarwal, the Joint Managing Director, was re-appointed for another three years. The AGM also saw the approval of raising up to Rs 2,000 crore in capital through the issuance of new shares.

Regarding the acquisition, BLS International noted that the purchase of Citizenship Invest is contingent upon regulatory approvals and will be financed through internal funds.

Citizenship Invest is known for its expertise in long-term visa solutions, which is expected to significantly broaden BLS’s offerings in the Visa and Consular space.

Shikhar Aggarwal expressed enthusiasm about the acquisition, stating, "This aligns with our strategic vision of enhancing synergies and boosting EBITDA.

The company’s outstanding 99% application success rate, combined with high revenue per application, aligns perfectly with our customer-centric philosophy."

Visa and Consular Services have been a major revenue driver for BLS International, accounting for 81 percent of the company's FY24 revenue. The company is optimistic about future growth, forecasting a 1.5-fold increase in global air passenger traffic by 2030, which is expected to reach 3.2 billion per year. This growth is anticipated to drive higher demand for visa-related services.

According to a report by Mordor Intelligence, the global aviation industry is poised for significant expansion, with aircraft deliveries expected to rise from over 8,100 between 2017 and 2023 to more than 12,800 by 2030. This surge in aircraft deliveries is likely to enhance the need for visa processing services.

Furthermore, BLS International is positioning itself to capitalize on the increasing trend of countries outsourcing visa processing.rj

The World To*963.urism Barometer indicates that by next year, outsourced entities will handle half of the world's visa processing requirements.

Looking ahead, BLS International plans to leverage its digital platform, the BLS Store, to cross-sell various digital services through its BLS E-Services segment.

This strategic focus aims to further strengthen the company's market position and drive future growth.