News

Australia's Stargroup reports ATM news, good and bad

March 21, 2017

Australia's Stargroup Ltd. recently announced that NeoICP Korea Inc., a private South Korean ATM manufacturer in which Stargroup owns an 11.28 percent interest, has issued a strong half-year earnings report.

According to a press release, NeoICP gross revenues for the half were AU$13.2 million ($10.2 million), with after-tax net profit of AU$853,705 ($659,939).

In a statement, Stargroup CEO and Executive Chairman Todd Zani said:

Stargroup is pleased with the solid results posted by NeoICP on the back of their outstanding 2016 full-year result. We are the only ATM deployer in Australia that has a direct ownership interest in its manufacturer and we believe that this is an excellent investment. …

The reciprocal shareholdings between Stargroup and NeoICP sets us apart in the ATM marketplace. Our joint ownership of each other means that we have an edge over our competitors, and we consider that an ongoing dividend stream from our investment in NeoICP is the icing on the cake.

In a separate press release, Stargroup announced that it was unable to meet its planned March 13 date for the completed acquisitionof Indue Ltd., an ATM switching, settlement, processing, telecommunications and reseller business, Zani said:

We are obviously disappointed that the transaction has not completed as originally scheduled but we are committed to this transaction and it continues to proceed on an unconditional basis. We will continue to work with Indue to finalize this transaction on an as-soon-as-practicable basis.