Blue Dart Express spurts on delisting buzz

Blue Dart Express surged 9.21% to Rs 675 at 10:43 IST on BSE on reports foreign logistics firm DHL Express is planning to make an open offer to shareholders of the company to make it a wholly-owned subsidiary.

Meanwhile, the BSE Sensex was up 120.79 points, or 0.76%, at 16540.44.

The stock hit a high of Rs 684 and a low of Rs 648.05 so far during the day. The stock had a 52-week high of Rs 856.55 on 21 June 2007 and a 52-week low of Rs 452.50 on 31 May 2007.

The scrip had underperformed the market over the past one month till 30 May 2008, slipping 8.48% compared to the Sensex's 5.04% decline. It had, however, outperformed the market in the past one quarter, gaining 2.16% compared to Sensex's 6.62% fall.

The mid-cap courier company has an equity capital of Rs 23.73 crore. Face value per share is Rs 10.

The current price of Rs 675 discounts its Q4 March 2008 annualised EPS of Rs 51.81, by a PE multiple of 13.02.

According to reports, the move is aimed at delisting Blue Dart from the Bombay Stock Exchange (BSE), making it a fully-owned subsidiary of DHL, the reports added.

DHL Express Singapore, a subsidiary of Bonn-headquartered DHL Express, already holds 81.03% in Blue Dart.

The net profit of Blue Dart Express rose 88.3% to Rs 30.70 crore on 32% rise in sales to Rs 239.70 crore in Q4 March 2008 over Q4 March 2007.

Blue Dart Express is South Asia's leading integrated air express carrier and premium logistics-services provider.