Intellicheck Identity Verification Report June 2024 Banner

NCR Voyix Said to Weigh Sale of $3B Digital Banking Arm

Payments processor NCR Voyix is reportedly considering the sale of its digital banking operation.

That sale could bring in as much as $3 billion, Reuters reported Friday (July 5), citing sources familiar with the matter.

Those sources say two buyout firms — TPG and Warburg Pincus — have expressed interest in the business, which accounts for about one-fifth of NCR Voyix’s yearly revenue.

PYMNTS has contacted NCR Voyix for comment but has not yet received a reply.

NCR Voyix was once part of NCR Corp before that company divided itself last year: Voyix handles digital commerce, and NCR Atleos focuses on automatic teller machines (ATMs).

Per Reuters, NCR Voyix has lost roughly 20% of its value since it began trading as a standalone company in 2023 and now has a market capitalization of about $4.6 billion, including debt.

Sources told Reuters NCR Corp had considered selling the digital banking unit even before the separation, but put the idea aside after failing to reach a price agreement with buyers. Selling the banking business would help Voyix reduce its $2.4 billion debt. The company is on pace to earn $220 million this year, the sources said.

PYMNTS CEO Karen Webster spoke last month with Brendan Tansill, NCR Voyix’s president of digital banking, about his approach to the sector.

“Our software development kits integrate data that maximizes the capabilities of our platform and integrates partner capabilities as tightly as possible,” embedded in NCR’s broader banking offerings, Tansill said. “We’ve spent a lot of time curating a marketplace, and we spend a lot of time talking about the concept of extensibility … We want to be a business that is easy to do business with.”

He likened the ecosystem for digital banking to that of Apple, with watches linking to MacBooks and iPhones, and apps being used across all of them.

“We have this ecosystem of products, and unlocking value comes with delivering incremental capabilities and functionalities that are only available when these products are consumed in tandem,” Tansill said.

He added that this ecosystem is built on a foundation of driving deposit growth, and those primary accounts act as a springboard toward getting consumers interested in add-on accounts.

For example, NCR Voyix has constructed a streamlined, unified, digital account opening tool through NCR Terafina that allows client financial institutions to boost their sales conversions and cross-sell other offerings.