NCR Pulls Sale After $9B Deal Falls Apart

ATM manufacturer NCR has ended its efforts to sell itself after its deal $9 billion sale deal with private equity firm Thoma Bravo fell though, the New York Post reported.

The deal with Thoma Bravo was observed as NCR’s best bet after it lost private equity firms Carlye and Blackstone as potential buyers.

As the deal fell apart, reports speculated NCR to pull the plug on its selling efforts, which led its share value to plummet by 7.9 percent to $27.99 on Thursday, the Street noted.

The two companies couldn’t zero onto a final sale figure, sources told the Post. “They are pencils down.” said a source with direct knowledge of the situation. “They were back and forth and could not agree on price.” 

If sources are to be believed, the private equity firm offered to buy NCR for a little over its current trading price, which stood at $30.38 on Wednesday.

NCR’s attempt to sell itself comes from being pressurized by shareholders to increase share price. The company reported a $344 millions in quarter loss.

In the past one year, NCR stock had fallen 11 percent and was trading below where it was 10 years ago. In this year’s first quarter, Reuters reported, NCR’s revenue went down by 3 percent to $1.48 billion compared to a year ago. Whereas, free cash flow went up from a year ago and was at $24 million in the first quarter.

The Duluth-based company has a valuation of around $5 billion.

To check out what else is HOT in the world of payments, click here.


New PYMNTS Report: The CFO’s Guide To Digitizing B2B Payments – August 2020 

The CFO’s Guide To Digitizing B2B Payments, a PYMNTS and Comdata collaboration, examines how companies are updating their AP approaches to protect their cash flows, support their vendors and enable their financial departments to operate remotely.

Click to comment