Private equity major Actis has invested Rs 220 crore in ATM outsourcing and payments company AGS Transact Technologies Ltd.
The proceeds will fully fund the ATM outsourcing expansion undertaken by AGS on behalf of India’s top banks.
It will also support roll-outs under the recent public sector contract won by AGS for the Himachal Pradesh, Haryana and Chandigarh circles.
In June last year, private investment firm TPG had invested Rs 145 crore with a follow-on investment of Rs 45 crore in March this year.
Founded by entrepreneur Ravi Goyal in 1992, AGS manages a network of 10,000 ATM machines across India. It also supplies specialised equipment and automated solutions to major retailers, petroleum and paint companies. AGS has installed over 14,000 ATMs for over 70 banks in India.
Market for ATMs
In the US, the ratio of ATMs to population is 1:700; in India it is 1:15,000. The number of ATMs in India is forecast to increase from approximately 95,000 in 2012 to at least 200,000 in 2017.
The recent white label guidelines unveiled by the Reserve Bank of India are expected to give a fillip to ATM growth.