INSUBCONTINENT EXCLUSIVE:
MUMBAI: MUMBAI: The promoters of AGS Transact Technologies have bought out the 42 per cent stake held by private equity funds TPG and Actis
in the cash and payments operator for an undisclosed sum, a top official has said.
The promoter family is looking at reviving the initial
public offering plans as well.
TPG had reportedly invested Rs 500 crore in 2011 for a 26 per cent stake in the company
But the valuation doubled when Actis picked up 16 per cent one year later.
"We've finished the buyback of shares from TPG and Actis and now
we own 97 per cent," chairman and managing director Ravi B Goyal told PTI
The remaining 3 per cent stake is held by employees through Esops.
He, however, declined to give details on the money paid to the private
equity players or any other details which can help determine the enterprise valuation.
A media report in February had said Goyal was looking
to raise up to USD 100 million in debt for buying out these PE funds, which typically exit through IPOs.
When asked whether it will relook
at taking the company public now, Goyal said the promoter family is looking at "capital markets in the near future" but refused to reveal
any timelines.
The company, which employs 9,500, had clocked a topline of Rs 1,364 crore in FY17 and said accounts for FY18 are yet to be
closed.
The company serves banks with ATMs deployment, where it has 80 lenders as clients, supplies both hardware and software support for
points of sale machines at merchants' end
It is also into prepaid cards for various closed user groups like oil marketer HPCL and also continues with the paints business which is its
genesis.
Goyal feels that both cash and digital payment alternatives will continue to thrive and hence, will focus on both the segments.
In
FY19, it is targeting to invest up to Rs 80 crore in ATM deployment, Goyal said, adding it does an average of 1,500-2,000 machines per
year.
It is also targeting to deploy 1 lakh PoS machines, for which it will be investing up to Rs 60 crore, he added.
The company will also
be focusing on the newly announced partnership with HPCL, where it is implementing the country's first contactless fuel solution that will
get rolled out from next month.
It is piloting the project now and plans to roll out the solution at 200 outlets in a phased manner, he
