November top 5: A tale of two sales
It was a November to remember for ATM deployers — in fact, for almost anyone in financial services — as fintech powerhouses Diebold Inc., NCR Corp., and Wincor Nixdorf AG announced major changes that will keep us all guessing for some time to come.
After spending most of the year declining comment on rumors of mergers and buyouts and investment deals (many of which, incongruously enough, broke in the New York Post, a tabloid better known for scandal-mongering than Wall Street-watching), the Big Three ATM manufacturers finally had something to say:
NCR announced a $700 million investment by Blackstone, a deal that rumor had on and then off at various times. The company said that infusion will allow it to continue its transformation to a hardware-first vendor to a "software-driven, hardware-enabled" solutions provider.
The NCR news came sandwiched between two announcements from Diebold Inc. and Wincor Nixdorf AG — the first revealing that the companies were exploring a possible business combination; the second detailing terms of an agreement under which Diebold would, indeed, buy Wincor.
The combined company, Diebold Nixdorf, will roughly equal NCR in sales and size.
This was all gigantic news to an industry that has struggled in recent years with falling hardware margins and escalating demands from customers for innovative technologies for increasingly tech-oriented end users.
Accordingly, articles about the deals and the companies involved captured four of the top spots on the November most-read list for ATM Marketplace.
The fifth spot was claimed by Cardtronics, which released third quarter earnings that beat the previous year's numbers by a whopping 17 percent.
So ... from an ATM industry point of view, was November the best of times or the worst of times? Only time will tell as the tale of two sales goes on.
In the coming weeks, ATM Marketplace will offer deeper insight into the longer-term impact of the Diebold Nixdorf and NCR deals.
In the meantime, here are November's top five headlines ...
Sometime in the mid-1800s, Carl (aka Charles) Diebold, occupation locksmith, left his native Germany to find new opportunity in the U.S. Now the company he founded — Diebold Inc. — has come full circle in a way, finding new opportunity in Germany — and beyond — with the acquisition of Wincor Nixdorf AG.
The former ATM industry rivals entered into a business combination agreement following the approval of terms by the boards of both companies. ... read more
Anything NCR has to say about a Diebold-Wincor merger could be written off as a truckload of sour grapes.
But while this is an important point to acknowledge, it is not the only point in play. So, following the announcement that Wincor and Diebold were working on a deal, ATM Marketplace spoke to Brian Bailey, vice president of marketing and strategy for NCR Financial Services, about the company's initial assessment of the Diebold-Wincor deal. ... read more
After months of declining comment on one buyout rumor after another, NCR Corp. this morning announced that it has entered into an agreement with investment and advisory firm The Blackstone Group LP — not for a buyout, exactly, but rather for a buy-in.
Under the terms of the agreement, affiliates of Blackstone will invest $820 million in NCR in the form of preferred shares, which, according to an NCR press release, equates to about a 17 percent stake in the company. ... read more
If you were listening in on last week's earnings calls by Diebold Inc. and NCR Corp., you might've sensed an unknown presence in the room. Something larger than the handful of suits gathered around a speakerphone. Something about the size of an elephant. An elephant named Wincor Nixdorf. ... read more
As the Boys of Summer burned up the bats in the 2015 MLB World Series, Cardtronics Inc. announced a few homeruns of its own on Oct. 29, reporting financial and operational results for the quarter ended Sept. 30. The company recorded total revenues of $311.4 million for the quarter, a 17 percent increase year over year. ... read more
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Suzanne Cluckey / Suzanne’s editorial career has spanned three decades and encompassed all B2B and B2C communications formats. Her award-winning work has appeared in trade and consumer media in the United States and internationally. She is now the editor of ATMmarketplace.com and BlockChainTechNews.com