HOUSTON - Cardtronics Inc. has announced plans to acquire the U.S. ATM operations of 7-Eleven Inc. The acquisition, tagged for $135 million, would add more than 5,500 ATMs to Cardtronics' portfolio, expanding the independent sales organization's network to more than 30,000 machines.
The transactions is expected to close by the end of June.
According to a news release, the deal provides Cardtronics with a 10-year exclusive right to operate all ATMs and advanced-function financial self-service kiosks in 7-Eleven locations throughout the United States, including all new 7-Eleven stores.
Of the more than 5,500 machines in 7-Eleven's U.S. network, approximately 2,000 are Vcom terminals, advanced-function ATMs. Vcom units provide advanced options such as check cashing, bill payment and money transfer, in addition to traditional cash dispensing and balance inquiry. Those 2,000 Vcom machines also are expected to start accepting image deposits for participating financial institutions.
"Acquiring the 7-Eleven ATM portfolio is a natural extension of our strategy to partner with major retailers in high-traffic locations," said Jack Antonini, president and chief executive of Cardtronics. "7-Eleven is a world-class organization. This acquisition will provide a significant boost to Cardtronics' transaction volume, while simultaneously moving Cardtronics into a leadership position in offering advanced, non-traditional financial services via the advanced-functionality kiosks."
As part of the agreement with 7-Eleven, Cardtronics will assume ownership and/or operation of all ATM and Vcom units owned or leased by 7-Eleven. Cardtronics also will take over maintenance, cash replenishment, processing, customer service, 24-hour monitoring and other operational functions for the machines.
"The 7-Eleven footprint nicely complements our existing base of deployed machines and strengthens our presence in key geographies," said Brian Archer, Cardtronics' executive vice president.
