BLS International surges 9% on fixing record date for bonus shares

The company has fixed May 17, 2022 as the 'Record Date' for the purpose of ascertaining the eligibility of shareholders entitled for issuance of bonus equity shares in the ratio of 1:1

Shares of BLS International Services hit a new high of Rs 364.40, surging 10 per cent on the BSE, after the company fixed May 17, 2022 as the record date for bonus equity shares.

"Business and Finance Committee of the Company in its meeting held on April 27, 2022 has fixed Tuesday, May 17, 2022 as the 'Record Date', for the purpose of ascertaining the eligibility of shareholders entitled for issuance of bonus equity shares of the Company in the proportion of 1:1 i.e. 1 equity shares of Re 1 each for every 1 existing equity share of Re 1 each," BLS International said in exchange filing.

This is subject to the approval of shareholders of the company on issue of bonus shares in the ensuing extraordinary general meeting (EGM) to be held on Monday, May 09, 2022, the company said.

Separately, the company board is scheduled to meet on May 5, 2022 to consider the audited financial results of the company for the quarter and year ended on March 31, 2022, and to recommend final dividend, if any, for the F.Y. 2021-22.

In the past one month, the stock has outperformed the market by surging 55 per cent as compared to 0.23 per cent rise in the S&P BSE Sensex. Rating agency CRISIL Ratings has reaffirmed its 'CRISIL A-/Stable/CRISIL A2+' ratings on the bank facilities of BLS International Services.

"The ratings continue to reflect the established market position of the BLS International group in the visa outsourcing services sector, diversified business risk profile, and robust financial risk profile. These strengths are partially offset by the tender-based business, susceptibility to changes in regulations by the concerned ministries of various countries," CRISIL Ratings said in its rationale.

It added: Business risk profile continues to be driven by the strong market position with presence in over 60 countries and presence in diversified revenue segment. Accordingly, an operating income growth is estimated in fiscal 2022 to over Rs 800 crore supported by supported by addition of new orders and customers after experiencing a sharp decline of around 40 per cent during FY21 on account of pandemic induced challenges on business demand. Improving scale is expected to support growth in operating margins to around 13 per cent in FY22 (against 11.1 per cent a year ago).

BLS International is engaged in the business of providing outsourcing and administrative task of Visa, Passport and Consular services to various Diplomatic Missions across the world. The company also provides services related to attestation and apostille on behalf of the Ministry of External Affairs.

The company also provides services to state and provincial governments across Asia, Africa, Europe, South America, North America and the Middle East, where they have scaled services to reach over 66 countries.