BLS International Services share price gained up 11 percent intraday on June 9 after acquisition of Zero Mass, India's largest business correspondent (BC).
The company said on June 8 it has acquired Mumbai-headquartered Zero Mass Private (ZMPL) for Rs 120 crore. With this all-cash acquisition from the company's internal accruals, BLS International became the largest business correspondent (BC) network in India.
BLS International now owns 88.26 percent equity stake in ZMPL, while State Bank of India continued to hold 6.83 percent.
Incorporated in 2007, ZMPL accounts for 5-6 percent of the bank accounts, deposit base and aggregate value of transaction of the BC system in India. It has been operating the largest BC network for State Bank of India (SBI) with around 11,500 active customer service points (around 15 percent of all the SBI BCs).
The company has pan-India presence with CSPs located across all States and Union Territories of India. Apart from SBI, ZMPL has contracts with Utkal Grameen Bank and Karur Vysya Bank, said BLS in its BSE filing.
The company further said the proposed transaction is carried out through its subsidiary BLS E-Services Private Limited.The stock was quoting at Rs 193.15, up 9.06 percent on the BSE at 3:15 pm IST.