Cardtronics announced Tuesday (Jan. 31) it has closed on its acquisition of Spark ATM Systems, a move the company said marks its entrance into the South Africa market.
In a press release, Cardtronics said Spark ATM Systems is a fast-growing independent ATM deployer in South Africa with a network of close to 2,600 ATMs.
“Spark ATM Systems is an innovative and highly respected ATM deployer, with relationships with leading banks in South Africa, making it a strong fit with Cardtronics. We are excited to broaden our global footprint into South Africa, with a management team that has built an impressive operating and technology platform,” said Cardtronics Chief Executive Officer Steve Rathgaber in the press release.
Spark ATM Systems expands Cardtronics’ global presence by adding South Africa as an anchor market in Africa, alongside the company’s established operations in North America, Europe and Asia-Pacific, the company said.
“This is a major milestone for Spark and is a strong vote of confidence not only in our organization but also in the growth potential of South Africa’s ATM market,” said Marc Sternberg, managing director of Spark ATM Systems, in the same press release. “We are excited about the synergies between Spark’s robust operating platform and proven sales engine, and the added capabilities and credibility that come with the world’s premier ATM services provider, Cardtronics. We look forward to further developing and capitalizing on these combined strengths to serve our existing customers, unlock new business opportunities and further expand the reach of ATMs in South Africa.”
According to the companies, South Africa is underpenetrated in terms of ATMs per person relative to Cardtronics’ two largest existing markets, despite the fact that consumer use of retail ATMs in South Africa is well-established, with close to 80 percent of all ATMs located offsite from a bank branch, according to research firm RBR. Spark ATM Systems will continue to operate under its current name, and its founders, Marc Sternberg and Russel Berman, and the existing management team will continue in their current roles.