NCR Voyix Enters Definitive Agreement to Sell Digital Banking to Veritas Capital for $2.45 Billion Purchase Price
NCR Voyix (NYSE: VYX) has entered a definitive agreement to sell its cloud-based digital banking business to Veritas Capital for $2.45 billion in cash, with potential additional contingent consideration of up to $100 million. The digital banking platform, currently the largest independent platform of its kind in the US, serves over 1,300 financial institutions and 20 million active users.
This strategic move allows NCR Voyix to streamline operations, focus on core restaurant and retail customers, and strengthen its financial position. The transaction is expected to close by year-end, subject to regulatory approvals. NCR Voyix plans to use the proceeds to de-lever its balance sheet and invest in core businesses.
NCR Voyix (NYSE: VYX) ha siglato un accordo definitivo per vendere la sua attività di banca digitale basata su cloud a Veritas Capital per 2,45 miliardi di dollari in contante, con un possibile ulteriore corrispettivo contingente di fino a 100 milioni di dollari. La piattaforma di banking digitale, attualmente la più grande piattaforma indipendente del suo genere negli Stati Uniti, serve oltre 1.300 istituzioni finanziarie e 20 milioni di utenti attivi.
Questa mossa strategica consente a NCR Voyix di semplificare le operazioni, concentrarsi sui clienti principali nel settore della ristorazione e del retail, e rafforzare la propria posizione finanziaria. Si prevede che la transazione si chiuda entro la fine dell'anno, soggetta ad approvazioni regolamentari. NCR Voyix intende utilizzare il ricavato per ridurre il proprio indebitamento e investire nelle attività principali.
NCR Voyix (NYSE: VYX) ha firmado un acuerdo definitivo para vender su negocio de banca digital basada en la nube a Veritas Capital por 2.45 mil millones de dólares en efectivo, con un posible pago adicional contingente de hasta 100 millones de dólares. La plataforma de banca digital, actualmente la más grande plataforma independiente de su tipo en EE. UU., atiende a más de 1,300 instituciones financieras y 20 millones de usuarios activos.
Este movimiento estratégico permite a NCR Voyix optimizar sus operaciones, centrarse en sus clientes principales de restaurantes y retail, y fortalecer su posición financiera. Se espera que la transacción se cierre a finales de año, sujeta a aprobaciones regulatorias. NCR Voyix planea utilizar los ingresos para reducir su deuda e invertir en sus negocios principales.
NCR Voyix (NYSE: VYX)는 Veritas Capital에 24억 5천만 달러에 클라우드 기반 디지털 뱅킹 사업을 매각하기 위한 최종 계약을 체결했습니다. 추가적으로 최대 1억 달러의 조건부 보상이 있을 수 있습니다. 현재 미국에서 가장 큰 독립 디지털 뱅킹 플랫폼인 이 플랫폼은 1,300개 이상의 금융 기관과 2천만 명의 활성 사용자를 보유하고 있습니다.
이 전략적 움직임은 NCR Voyix가 운영을 간소화하고, 핵심 식당 및 소매 고객에 집중하며, 재무 상태를 강화할 수 있도록 합니다. 거래는 규제 승인을 조건으로 연말까지 완료될 것으로 예상됩니다. NCR Voyix는 수익금을 사용하여 부채를 줄이고 핵심 사업에 투자할 계획입니다.
NCR Voyix (NYSE: VYX) a conclu un accord définitif pour vendre son activité de banque numérique basée sur le cloud à Veritas Capital pour 2,45 milliards de dollars en espèces, avec une compensation supplémentaire conditionnelle potentielle allant jusqu’à 100 millions de dollars. La plateforme de banque numérique, actuellement la plus grande plateforme indépendante de son genre aux États-Unis, dessert plus de 1 300 institutions financières et 20 millions d'utilisateurs actifs.
Ce mouvement stratégique permet à NCR Voyix de rationaliser ses opérations, de se concentrer sur ses clients principaux dans le secteur de la restauration et du commerce de détail, et de renforcer sa position financière. La transaction devrait être finalisée d'ici la fin de l'année, sous réserve des approbations réglementaires. NCR Voyix prévoit d'utiliser les recettes pour débarrasser son bilan de la dette et investir dans ses activités principales.
NCR Voyix (NYSE: VYX) hat eine endgültige Vereinbarung getroffen, um ihr cloud-basiertes digitales Bankgeschäft für 2,45 Milliarden US-Dollar in bar an Veritas Capital zu verkaufen, mit einer potenziellen zusätzlichen contingent consideration von bis zu 100 Millionen US-Dollar. Die digitale Banking-Plattform, derzeit die größte unabhängige Plattform ihrer Art in den USA, bedient über 1.300 Finanzinstitute und 20 Millionen aktive Nutzer.
Dieser strategische Schritt ermöglicht es NCR Voyix, die Betriebe zu optimieren, sich auf die Kernkunden im Restaurant- und Einzelhandelsbereich zu konzentrieren und ihre finanzielle Lage zu stärken. Es wird erwartet, dass die Transaktion bis Ende des Jahres, vorbehaltlich der regulatorischen Genehmigungen, abgeschlossen wird. NCR Voyix plant, die Erlöse zu verwenden, um ihre Bilanz zu entschulden und in ihre Kernbereiche zu investieren.
- Sale of digital banking business for $2.45 billion, with potential additional $100 million
- Strengthening of financial position through debt reduction
- Increased focus on core restaurant and retail customers
- Opportunity for strategic investments in core businesses
- Divestment of a major business segment with 1,300 financial institution clients
- Potential loss of revenue stream from 20 million active users in the digital banking sector
Insights
The $2.45 billion sale of NCR Voyix's digital banking business to Veritas Capital is a significant strategic move. This divestiture allows NCR Voyix to focus on its core restaurant and retail operations while substantially improving its balance sheet. The
For investors, this transaction represents a positive shift in NCR Voyix's financial position. The reduced debt load and streamlined operations could lead to improved profitability and potentially higher shareholder returns in the long term. However, it's important to monitor how effectively management reinvests the proceeds and executes its focused strategy in the restaurant and retail sectors.
The sale of NCR Voyix's digital banking platform, the largest independent platform of its kind in the U.S., marks a significant shift in the fintech landscape. With over 1,300 financial institutions and 20 million active users, this platform has substantial market presence. Veritas Capital's acquisition could potentially accelerate innovation and expand the platform's capabilities as a standalone entity.
For the broader fintech industry, this move might trigger further consolidation and specialization. As NCR Voyix refocuses on restaurant and retail tech, we could see increased competition in those sectors. Meanwhile, the digital banking space might experience heightened investment and innovation under Veritas's ownership, potentially benefiting both financial institutions and end-users through enhanced digital banking solutions.
This transaction reflects a broader trend of corporate restructuring and focus on core competencies in the tech sector. NCR Voyix's decision to divest its digital banking business aligns with the strategy of streamlining operations to enhance shareholder value. The move could potentially lead to a re-rating of NCR Voyix's stock as investors reassess the company's growth prospects and improved financial position.
For the market, this deal signifies continued private equity interest in fintech assets. Veritas Capital's acquisition highlights the perceived value and growth potential in digital banking solutions. Investors should watch for potential ripple effects in both the financial technology and retail technology sectors, as competitors may feel pressure to make similar strategic moves to maintain their market positions.
NCR Voyix’s digital banking platform is currently the largest independent platform of its kind in
“We believe that Veritas, as a leading technology investor, is the ideal owner of our digital banking business, as they will continue to invest in market-leading products and solutions to meet the needs of our valued financial institution customers,” said David Wilkinson, CEO of NCR Voyix. “This transaction allows us to drive value for our shareholders by strengthening our financial position and focusing on our core restaurant and retail customers.”
“The digital-first banking platform is a pioneer in mobile and online banking with a superior value proposition and significant runway for growth,” said Ramzi Musallam, Chief Executive Officer and Managing Partner of Veritas. “We believe the platform represents a compelling opportunity to invest in a set of mission-critical solutions that will empower both community and enterprise financial institutions and provide new and innovative banking tools to millions of users.”
“Our Digital-First solution suite has been strategically designed to grow and expand with our customers over time as their retail and business banking distribution and customer engagement strategies evolve,” said Brendan Tansill, Executive Vice President and President of Digital Banking for NCR Voyix. “Veritas brings a proven track record of successfully executing similar business carveouts and subsequently driving growth. We look forward to working alongside their experienced team as we continue to pursue commerce and banking innovations that help our customers and their users succeed.”
This transaction is part of the Company’s ongoing efforts to streamline its operations to focus specifically on its core software and services offerings for restaurants and retailers around the world. NCR Voyix expects to use the proceeds of the transaction to accelerate the achievement of certain financial objectives, including de-levering the balance sheet, which will enable greater strategic investment in the Company’s core businesses.
Transaction Details
The transaction has been approved by NCR Voyix’s Board of Directors and is expected to close by year-end, subject to customary closing conditions, including regulatory approvals. Pursuant to the terms of the definitive agreement, Veritas will acquire the assets of the NCR Voyix Digital Banking business for a purchase price of
Conference Call
NCR Voyix will host a conference call and webcast today, August 6, 2024, at 8:00 a.m. Eastern Time to discuss the Company’s second quarter financial results and business highlights, as well as details about the transaction. Access to the webcast and the accompanying slides are available on the Investor Relations section of the Company’s website at https://investor.ncrvoyix.com. A replay of the audio webcast will be archived on the Company’s website following the live event.
More information on the Company’s second quarter earnings is available on the NCR Voyix Investor Relations section of the Company’s website at https://investor.ncrvoyix.com.
Advisors
Goldman Sachs & Co. LLC served as financial advisor and King & Spalding served as legal counsel to NCR Voyix. Evercore served as financial advisor and
About NCR Voyix
NCR Voyix Corporation (NYSE: VYX) is a leading global provider of digital commerce solutions for the retail, restaurant, and digital banking industries. NCR Voyix transforms retail stores, restaurant systems and digital banking experiences with comprehensive, platform-led SaaS and services capabilities. NCR Voyix is headquartered in
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About Veritas Capital
Veritas is a longstanding technology investor with over
Forward-Looking Statements
This release includes statements which may constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the accuracy of which are necessarily subject to risks, uncertainties, and assumptions as to future events that may not prove to be accurate. In some cases, you can identify forward-looking statements by the use of words such as “may,” “could,” “expect,” “intend,” “plan,” “target,” “seek,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” or “continue” or the negative of these terms or other comparable terminology. These statements include, but are not limited to, express or implied forward-looking statements relating to our expectations regarding the Company’s sale of its cloud-based digital banking business, including the estimated proceeds from the sale and the timing of the expected completion of the sale. These statements are neither promises nor guarantees, but are subject to a variety of risks and uncertainties, many of which are beyond our control, which could cause actual results, levels of activity, performance or achievements to differ materially from those contemplated in these forward-looking statements. Investors and others are cautioned not to place undue reliance on forward-looking statements. Factors that could cause actual results to differ materially from those expressed or implied include our ability to achieve some or all of the expected benefits of the sale of the digital banking business, our ability to perform under our agreements with Veritas Capital, our ability to successfully complete the sale, and the other risks and uncertainties further described in the “Risk Factors” section of the Company’s most recent Annual Report on Form 10-K, and in the Company’s subsequent Quarterly Reports on Form 10-Q, as well as in the Company’s other reports filed with or furnished to the
View source version on businesswire.com: https://www.businesswire.com/news/home/20240805955350/en/
NCR Voyix:
News Media Contact
Susan Sloan
media.relations@ncrvoyix.com
Investor Contact
Alan Katz
alan.katz@ncrvoyix.com
Veritas Capital:
News Media Contact
Prosek Partners
Pro-Veritas@Prosek.com
Source: NCR Voyix Corporation
FAQ
What is the value of the deal between NCR Voyix (VYX) and Veritas Capital?
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