News

Global Axcess to buy 238 ATMs

November 21, 2011

Global Axcess Corp, a Jacksonville, Fla.-based provider of ATM and self-service kiosk management services, announced today it has agreed to purchase 238 ATMs from a United States convenience store chain. The other party to the agreement was not named in the announcement but Global Axcess said the ATMs are located primarily in the Midwest.

According to the announcement, the purchase is expected to add about $2.4 million in annual revenue, and approximately $880,000 in EBITDA, to Global Axcess' core ATM business starting in 2012.

The company said purchase of the ATM equipment and contracts will cost Global Axcess $500,000 at closing and $1.0 million by Jan. 15, 2012.

"Acquiring another portfolio of established ATMs continues our effort to accelerate ATM growth and profitability through additional strategic asset purchases," said Lock Ireland, co-CEO of Global Axcess. "We are committed to building on our current network through acquisitions and this agreement is another important step in expanding our ATM base. Our recent M&A activity, along with our established base, helped contribute to the strongest ATM results in the company's history in our third quarter of 2011."

Global Axcess said it will likely fund the ATM purchase through its senior lender with a closing date for the deal to happen sometime on or before Nov. 23, 2011.

Founded in 2001, Global Axcess owns and operates its own network of 5,300 ATMs and DVD kiosks in 43 states.

For more stories like this, visit the Retail/Off-Premises research center.