19 February 2018
Visit www.avoka.com

De La Rue to acquire Papelaco banking automation business

25 March 2002  |  4016 views  |  0 ATM user

De La Rue Cash Systems is to acquire the banking automation business of Portuguese self-service technology vendor Papelaco, in a deal worth up to EUR36.5 million.

Cash consideration is expected to be EUR26 million, comprising estimated net assets of EUR10.5 million and estimated goodwill of EUR15.5 million with a further payment of up to EUR10.5 million dependant on certain performance criteria being met, linked to sales and margin growth.

The transaction is expected to complete on 31 May 2002 with the transfer of operations taking place on that date, subject to regulatory approval.

The deal will add significant self-service technology to De La Rue’s existing range of teller automation and back-office cash processing systems.

Papelaco's banking automation business, based in Lisbon, produces automated teller machines, multifunction kiosks and other self service applications for the Portuguese and Spanish markets. Based on the unaudited management accounts for the 12 months ended 31 December 2001, business turnover was EUR35 million with an operating profit of EUR3.5 million.

Under the terms of the agreement, approximately 400 sales, service and administration staff based in Portugal and Spain will be integrated into De La Rue Cash Systems. The costs associated with integrating the Papelaco business, mainly concerning systems and processes integration, are not expected to exceed EUR1.5 million.

Pietro Armanini, managing director, Cash Systems, says: "We are increasingly seeing a strong trend for banks moving cash transactions activities away from the teller to a self service area...Papelaco's banking automation business provides a natural extension to Cash Systems' own offering."

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Brief: Diebold broadens European reach

Brief: Diebold broadens European reach

13 March 2002  |  2485 views  |  0 comments
Retail-based terminals boost European ATM market

Retail-based terminals boost European ATM market

07 February 2002  |  5553 views  |  0 comments
Bank spending on Web self-service on the increase

Bank spending on Web self-service on the increase

07 February 2002  |  4057 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit www.vasco.comVisit http://info.nice.comVisit https://www.capgemini.com

Top topics

Most viewed Most shared
Saudi central bank provides sandbox for banks to try out Ripple techSaudi central bank provides sandbox for ba...
11284 views comments | 16 tweets | 12 linkedin
ABN Amro moves escrow accounts to the blockchainABN Amro moves escrow accounts to the bloc...
8845 views comments | 15 tweets | 13 linkedin
ECB launches staunch defence of cashECB launches staunch defence of cash
8738 views 10 comments | 22 tweets | 26 linkedin
Aussie real-time payments platform goes liveAussie real-time payments platform goes li...
8710 views comments | 15 tweets | 43 linkedin

Featured job

Competitive base + commission (double OTE)
London, UK

Find your next job