Brink’s also said in the statement that its acquisition of NCR Atleos remains on track to close in the first quarter of 2027.
Brink’s announced in February that it planned to acquire NCR Atleos in a cash and stock transaction valued at $6.6 billion, creating a “leading financial technology infrastructure company.”
Wednesday’s statement from Brink’s was released after the U.K.’s Competition and Markets Authority said that it plans to refer the anticipated acquisition by Brink’s of NCR Atleos for an in-depth investigation unless the companies address its competition concerns.
The CMA said this in a Wednesday update on its merger inquiry, which the CMA launched on Aug. 26 after an invitation to comment that allowed interested parties to share their views on the impact the anticipated acquisition could have on competition in the U.K.
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“The CMA has decided, on the evidence currently available to it, that it is or may be the case that this merger has resulted or may be expected to result in a substantial lessening of competition within a market or markets in the United Kingdom,” the CMA said in the update. “This merger will be referred for an in-depth, phase 2 investigation unless the parties offer an acceptable undertaking to address these competition concerns.”
In a summary of its phase 1 decision, the CMA said that it found that the anticipated acquisition could cause a substantial lessening of competition in the deployment, operation and maintenance of ATMs in the U.K.
Brink’s offers ATM-related products and services in the U.K. through its NoteMachine business, while NCR Atleos does so through its Cardtronics business, according to the summary.
Brink’s and NCR Atleos have until Oct. 7 to offer undertakings in lieu (UILs) that might be accepted by the CMA to address the competition concerns. If they fail to do so, or if the CMA decides the UILs are insufficient, the phase 2 investigation will begin, per the summary.
In its statement on the CMA’s announcement, Brink’s said the regulator’s decision was always considered a potential outcome due to the overlap of the ATM businesses in the U.K. and that the company has engaged constructively with the CMA throughout the review process.
“The potential sale of NoteMachine/TestLink UK was a remedy that was contemplated in the financial metrics that Brink’s has previously disclosed and does not impact the $200 million in annual run-rate cost synergies that we continue to expect to achieve within three years of closing the transaction,” Brink’s said in the statement. “The proposed sale process is progressing, with a number of prospective buyers having expressed strong preliminary interest. Brink’s looks forward to continuing constructive engagement with the CMA.”
Reached by PYMNTS, NCR Atleos shared a link to the Brink’s statement and said the company has no comment beyond that.
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