Important acquisition by Loomis in the USA

Report this content

The Swedish cash handling company Loomis’ US subsidiary has reached an agreement to acquire the cash handling business of the American company Pendum LLC. The purchase price amounts to 100 MUSD, corresponding to approximately 640 MSEK.

Operations acquired include cash replenishment and management of 43,000 ATMs across the US and with an annual turnover of 100 M USD. However, Pendum’s ATM maintenance and repair business, which includes first and second line maintenance services and parts and product sales for ATMs will remain with Pendum and are not part of the Loomis acquisition.

The acquisition will add revenue of approximately 65 MUSD to Loomis’ US subsidiary during 2011, corresponding to approximately 420 MSEK, as compared to the total turnover of 4 billion SEK in 2010. Operations are expected to give a positive contribution to Group income in 2011.

- Most of the Pendum operations that we are acquiring will be incorporated in our existing organisation and structures, which will increase productivity at a large number of our branch offices. At the same time we are strengthening our geographical presence and market position in several important regions, among them Ohio and Kentucky, says Lars Blecko, CEO of Loomis.

Lars Blecko also notes that the acquired operations will widen the base for an increased focus on comprehensive cash handling solutions. With the acquisition of the cash handling business of Pendum, Loomis is able to expand its offering of nationwide Cash Management Service (CMS).

One of Loomis' long-term goals is to increase the share of business consisting of comprehensive solutions rather than just cash transportation. Loomis aims to serve its customer's total cash handling needs as its core focus and sees this acquisition as a next step in capitalizing on the emerging opportunities in the cash handling arena.

The acquisition of Pendum’s cash handling operations is an important contribution to the Loomis Group strategy to focus on growth, both through acquisitions and organically.

The target closing date for the acquisition is April 30, 2011, which means that the operations will be consolidated by Loomis as of that date. The closing of the transaction is subject to customary conditions, such as regulatory approval.

During 2010 Loomis made three acquisitions in the US, with a total turnover of over 10 MUSD.

A press and analyst conference call will take place on March 31, at 1.45 p.m. CET.

Phone number +46 (0)8 5052 01 14, +44 (0)207 1620 177 or +1 334 323 6203, conf id: 892189.

Individual interviews can be booked by Carina Cederblad, +46 8 522 920 53 or carina.cederblad@loomis.com.

31.03.2011                                           

Lars Blecko                                                                                          
CEO

Carina Cederblad +46 8 522 920 53

Loomis offers safe and effective solutions for the distribution, handling and recycling of cash for banks, retailers and other commercial companies via an international network consisting of more than 370 branch offices in 13 European countries and in the US. Loomis has about 20 000 employees and a turnover of 11 billion Swedish kronor. Loomis is a midcap listed company on NASDAQ OMX Stockholm.

Loomis AB discloses the information provided herein pursuant to the Swedish Securities Market Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 1.30 p.m. (CET) on March, 31 2011.

Tags:

Subscribe

Documents & Links