Brink’s has offered to sell its UK NoteMachine business as part of proposed remedies to address Competition and Markets Authority (CMA) concerns over its acquisition of NCR Atleos.
The CMA said today (8 October) that it is considering legally binding undertakings from Brink’s, which also include the sale of the UK business of TestLink, an ATM spare parts supplier.
The proposed sale of NoteMachine is the key remedy affecting the UK cash machine market. NoteMachine provides ATM and cash management solutions, while Brink’s and NCR Atleos together currently operate more than 50 per cent of all ATMs in the UK.
The CMA is concerned that the $6.6 billion (£4.88bn) acquisition of NCR Atleos could reduce competition in the operation and maintenance of ATMs, leaving the combined business as a strong market leader with limited competition from other suppliers.
It said this could ultimately mean fewer options for businesses providing ATMs on commercial premises and higher fees for people using cash machines.
CMA to consult on sale
The CMA said it has provisionally found that the proposed remedies could address its competition concerns and will now examine them in more detail.
This will include seeking feedback from third parties and considering potential buyers for the businesses.
If the CMA is satisfied that the undertakings address its concerns, it will conditionally clear the Brink’s-NCR Atleos deal without referring it to a full Phase 2 investigation.
“Cash machines remain an important way for many people and businesses to access money and wider banking services, so it is vital that competition is protected,” Elie Yoo, senior director of mergers at the CMA, said.
She added that Brink’s had offered to sell the two businesses after both parties accepted early on that the deal raised competition concerns.
The CMA had previously announced on 30 September that the merger could result in a substantial lessening of competition in the UK and would be referred for an in-depth Phase 2 investigation unless acceptable remedies were offered.
The acquisition was originally announced in February, with Brink’s agreeing to acquire NCR Atleos in a transaction valued at approximately $6.6bn, including $2.2bn in cash and 13.3 million Brink’s shares, plus the assumption of around $2.6bn in NCR Atleos debt.
The companies' shareholders approved the deal in June. The transaction has also received US antitrust clearance and is expected to close by the end of the first quarter of 2027, subject to remaining regulatory approvals.