NCR Corp. has acquired Transoft Intl. Inc., a provider of cash cost optimization software for financial institutions and retailers. NCR will integrate Transoft's software and SaaS-based product suite and employees into its financial services line of business in order to strengthen its cash management offering and to provide financial institutions and retailers a unique integrated cash management solution.
Transoft manages cash for hundreds of thousands of ATMs, branches, vaults and retailers around the world. Its cash cost optimization software uses complex statistical analysis to help financial institutions and retailers optimize their cash requirements and reduce costs associated with cash handling. NCR believes that cash management represents a $1 billion segment for integrated technology hardware, software and services solutions.
"The addition of Transoft's solutions and experience will help NCR build a unique and compelling integrated cash management solution," said Peter Leav, executive vice president of NCR, in the announcement. "As financial institutions continue to reinvent their customer experience through intelligent deposit and branch transformation, managing cash is becoming increasingly complex, making Transoft's software an increasingly important opportunity." The integration of Transoft's software and SaaS offerings with NCR's experience in ATM and branch technology and strategies will result in innovative solutions for customers, he said.
"For 18 years, our partnership with NCR has been important to us and, with the current emerging technologies in cash recycling and central bank adaptations, I believe a new era has arrived for our industry," Transoft president and CEO, Bo H. Holmgreen. "The timing is right for this expanded relationship with NCR … Coupling our aggressive optimization software strategy and our people with NCR's elegant hardware solutions makes a lot of sense to our customers and to the market, and we look forward to delivering exciting synergies."
According to the ATM Industry Association, cash management accounts for nearly 30 percent of an ATM's annual expenses. ATMIA also estimates that effective cash management strategies can save a financial institution from $3,000 to $10,000 a year within a branch.
For more on this topic, visit the vault cash/cash management research center.