News

Tata aiming to offload white-label ATM business

July 5, 2016

Tata Communications, the telecoms arm of the $103.3 billion Tata Group, is reportedly putting its Indicash white-label ATM business up for sale with an asking price of approximately 1,000–1,350 crore rupees ($148.4 million–$222.6 million).

A report by International Business Times said that Tata Group is initially floating the offer to potential Japanese and American buyers. Last year, India's government opened the white-label market to 100 percent foreign direct investment, eliminating the need for nondomestic buyers to seek government approval before buying into an ATM interest.

According to the report, revenues for Tata Communications' Indicash division  ATM vertical has revenues of about 1,600–1,800 crore rupees ($237.4 million–$267.1 million) and is approaching the break-even point, an unnamed source told IB Times.