Cardtronics Buys 7-Eleven ATM Operation
HOUSTON -- Cardtronics Inc, the largest independent service organization ATM deployer in the country and the parent of the Allpoint Network, has announced plans to acquire the U.S. ATM operations of 7-Eleven Inc. The acquisition, tagged for $135 million, would add more than 5,500 ATMs to Cardtronics' portfolio, expanding the independent sales organization's network to more than 30,000 machines.
The transaction will close by the end of June, the company said in a news release.
The deal provides Cardtronics with a 10-year exclusive right to operate all ATMs and advanced-function financial self-service kiosks in 7-Eleven locations throughout the United States, including all new 7-Eleven stores.
Of the more than 5,500 machines in 7-Eleven's U.S. network, approximately 2,000 are Vcom terminals, advanced-function ATMs. Vcom units provide advanced options such as check cashing, bill payment and money transfer, in addition to traditional cash dispensing and balance inquiry. Those 2,000 Vcom machines also are expected to start accepting image deposits for participating financial institutions.
"Acquiring the 7-Eleven ATM portfolio is a natural extension of our strategy to partner with major retailers in high-traffic locations," said Jack Antonini, president and chief executive of Cardtronics. "7-Eleven is a world-class organization. This acquisition will provide a significant boost to Cardtronics' transaction volume, while simultaneously moving Cardtronics into a leadership position in offering advanced, nontraditional financial services via
As part of the agreement with 7-Eleven, Cardtronics will assume ownership and/or operation of all ATM and Vcom units owned or leased by 7-Eleven. Cardtronics also will take over maintenance, cash replenishment, processing, customer service, 24-hour monitoring and other operational functions for the machines.
The Vcom part of the sale is especially significant since the Financial Service Centers Cooperative has a deal with 7-Eleven to provide shared branching services through the Vcom machines in 7-Eleven's, a deal the shared branching network's CEO, Sarah Canepa Bang, said will remain on track.
"FSCC is delighted with the acquisition of Vcom Services by Cardtronics," Bang said. "We have long admired the leadership and strategic thinking of the folks at Cardtronics. Their acquisition of Vcom services brings two forward-thinking companies together and FSCC is so very happy to be a part of it. We are hoping this will lead to more deployments of shared branching services throughout the Cardtronics network. Of course, our first priority is getting the 7-Eleven kiosks up and running."