The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Globe Investor

News Sources

Take control of your investments with the latest investing news and analysis

Press release from Marketwire

DirectCash Completes Acquisition of Customers Limited

Wednesday, July 04, 2012

DirectCash Completes Acquisition of Customers Limited01:06 EDT Wednesday, July 04, 2012CALGARY, ALBERTA--(Marketwire - July 4, 2012) - DirectCash Payments Inc. (TSX:DCI) ("DirectCash") is pleased to announce that it has successfully completed its acquisition of Customers Limited (ASX:CUS) ("Customers"). Customers is Australia's largest independent operator of ATMs with over 6,600 ATMs in Australia and New Zealand."We are excited about the opportunity to expand our presence in the Australian and New Zealand markets, which are less mature than the Canadian market. This transaction positions DirectCash as one of the largest, publicly traded, branded ATM providers in the world with approximately 18,900 active ATM sites and operations in Canada, Australia, New Zealand, Mexico, the United Kingdom and the United States", said Jeff Smith, President and CEO of DirectCash. Customers operates Australia's largest fleet of ATMs, which are contracted to merchants. The company operates ATMs for Bank of Queensland and Coles Express, while also carrying a range of bank brands on selected terminals, including Citibank, Bendigo and Adelaide Bank, and Arab Bank of Australia, as well as its own convenience brands. The Company is also the majority shareholder of New Zealand ATM Services Ltd. "DirectCash anticipates that it will be able to achieve additional benefits and synergies from the Customers acquisition", said Mr. Smith.At closing, the transaction was initially be funded through senior credit facilities to finance the acquisition consideration and extinguish pre-existing debt of Customers. As previously disclosed, permanent financing for the transaction is expected to be through a combination of bank debt, high yield notes and equity. DirectCash expects significant accretion to funds from operations per share in the first fiscal year following the transaction. Additional information related to the transaction can be found in DirectCash's press release and investor presentation dated April 1, 2012, which are available on DirectCash's website (www.directcash.net).BMO Capital Markets and Ashurst Australia acted as advisors to DirectCash in connection with this transaction. Fully underwritten senior and bridge credit facilities were provided by BMO Capital Markets.About DirectCashDirectCash is a leading provider of ATMs, debit terminals and prepaid products in Canada. DirectCash also offers ATM services in the United States, ATM services in Mexico, prepaid cards in Australia, and ATM services and prepaid cards in the United Kingdom. DirectCash is a full-service operator and transaction processor in each of these business units and has been in the ATM business since 1997 and the debit terminal and prepaid products businesses since 2002. Based upon information obtained from competitors and information publicly available regarding the number of ATMs deployed by each Canadian chartered bank as at October 31, 2011, DirectCash ranks as the largest branded ATM operator in Canada.Additional information about DirectCash, including DirectCash's Annual Information Form and other public filings is available on SEDAR (www.sedar.com) and on the DirectCash's website (www.directcash.net).FOR FURTHER INFORMATION PLEASE CONTACT: Jeffrey J. SmithDirectCash Payments Inc.President, CEO & Director(403) 387-2101jeff@directcash.netwww.directcash.net