Global Axcess Corp to Purchase Portfolio of 238 ATMs - Expected to Add Approximately $2.4 Million in Annual Revenue and $880,000 in EBITDA per Year Commencing in 2012 -
JACKSONVILLE, Fla., Nov. 22, 2011 /PRNewswire/ -- Global Axcess Corp (OTC Bulletin Board: GAXC; the "Company"), an independent provider of self-service kiosk solutions, today announced that it has entered into a Definitive Agreement to purchase 238 ATMs from an undisclosed privately-held, company-operated convenience store chain in the United States. These ATMs are located at convenience store locations primarily in the mid-West.
The asset purchase is expected to add approximately $2.4 million in annual revenue commencing for full year 2012 and approximately $880,000 in EBITDA to Global Axcess' core ATM business. In consideration for the ATM equipment and the contracts, Global Axcess will pay $500,000 at closing and $1.0 million by January 15, 2012.
Lock Ireland, Co-Chief Executive Officer of Global Axcess, commented, "Acquiring another portfolio of established ATMs continues our effort to accelerate ATM growth and profitability through additional strategic asset purchases. We are committed to building on our current network through acquisitions and this agreement is another important step in expanding our ATM base. Our recent M&A activity, along with our established base, helped contribute to the strongest ATM results in the Company's history in our third quarter of 2011."
The Company anticipates that it will fund the acquisition primarily through a facility with its senior lender. Closing on this transaction is anticipated to occur on or before November 23, 2011.
About Global Axcess Corp
Headquartered in Jacksonville, Florida, Global Axcess Corp was founded in 2001 with a mission to emerge as the leading independent provider of self-service kiosk services in the United States. The Company provides turnkey ATM and other self-service kiosk management solutions that include cash and inventory management, project and account management services. Global Axcess Corp currently owns, manages or operates approximately 5,300 ATMs and DVD kiosks in its national network spanning 43 states. For more information on the Company, please visit http://www.globalaxcess.biz. For more information on Nationwide Money Services, please visit http://www.nationwidemoney.com.
Investor Relations Contacts:
Michael J. Loiacono
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SOURCE Global Axcess Corp