BLS International to acquire business correspondent Zero Mass for Rs 120cr
BLS International, an Indian outsourcing service provider, has agreed to acquire 100% of Zero Mass Private Ltd (ZMPL), a business correspondent based in Mumbai, for INR 120 crores in cash.
Following the acquisition, BLS International claims to have become India’s largest business correspondent network. The deal was carried out by its fully-owned subsidiary BLS E-Services Private Limited.
BLS International has an 88.26% stake in Zero Mass Private Ltd, pursuant to the already completed transactions. This includes the entire equity stake of 63.94% held by the latter’s main promoter Anurag Gupta.
State Bank of India continues to have a stake of 6.83% in Zero Mass Private Ltd.
Zero Mass Private Ltd is said to have been operating the largest business correspondent network for the State Bank of India (SBI).
The company has nearly 11,500 active customer service points (CSPs), of which around 15% make up for SBI business correspondents.
Established in 2007, Zero Mass Private Ltd has a presence throughout India with CSPs in all states and union territories.
The business correspondent based also has contracts with Karur Vysya Bank and Utkal Grameen Bank.
Shikhar Aggarwal — BLS International Joint Managing Director said: “We are excited to welcome ZMPL team on-board as it strengthens our business correspondent vertical for the next phase of growth.
“We believe that through this acquisition, the collective experiences of teams will build synergies and further help BLS International to enhance its reach to deliver trusted banking services to the rural and semi-rural India. We have all seen that business correspondent network are a critical last mile link in the Indian banking system to bring greater financial inclusion.
“This acquisition shall result in substantial increase in our touch points from ~3,060 to 14,500+ CSPs, which BLS International would seek to leverage through multiple initiatives in future.”