Brink’s Offers to Sell ATM Unit to Clear UK Antitrust Hurdle for NCR Atleos Deal

Brink’s Company has proposed selling its ATM-related product and service businesses, NoteMachine and TestLink UK, in an effort to meet the United Kingdom regulator's competition concerns regarding its acquisition of NCR Atleos, according to a statement released on Wednesday (Sept. 30). The proposed divestiture is part of a cash and stock transaction valued at $6.6 billion, which Brink’s announced in February as a move to create a leading financial technology infrastructure company.

This potential sale comes after the Competition and Markets Authority (CMA) launched an in-depth investigation into the anticipated acquisition on Aug. 26, driven by the regulator's concerns over potential substantial lessening of competition in the U.K. ATM deployment, operation, and maintenance market. The CMA expressed its intent to refer the merger for a phase 2 investigation unless Brink’s and NCR Atleos provide acceptable undertakings to address the competition issues.

Brink’s stated that the regulator's decision was anticipated due to the overlap of the ATM businesses in the U.K., and the proposed sale of NoteMachine/TestLink UK is expected to have no impact on the $200 million in annual run-rate cost synergies anticipated within three years of the transaction closing.