News

ABSA Bank takes ATM ownership in-house with buy from Bytes

The South African FI entered into an agreement with IAD Bytes to acquire its ABSA-branded ATMs and related lease sites in a deal that took effect August 1.

August 12, 2014

Absa Bank Ltd. has announced the completion of its acquisition of approximately 850 ATMs and all related franchise agreements from the Bytes Managed Solutions division of Bytes Technology Group South Africa (Pty) Ltd.

Absa entered into an agreement with Bytes, a wholly owned subsidiary of the Altron Group, to acquire the ATMs and related lease sites as of August 1.

“The acquisition will allow Absa to improve our customer experience as part of plans to reshape the branch network, optimize the ATM footprint and invest heavily in digital products and innovation," said Craig Bond, chief executive of retail and business banking at Barclays Africa. "Absa has South Africa's largest ATM network, and we will continue to expand this with new generation cash dispensing and accepting devices."

Employees servicing the ATMs will remain in the employ of Bytes and no other part of Bytes’ ATM business will be affected.

“The approach by Absa to purchase their branded ATMs and related franchise agreements, essentially a non-core activity for Bytes, fitted in well with our strategy of streamlining our business by focusing on core competencies and converged solutions," said Rob Abraham, CEO of Bytes Technology Group.