Diebold to Acquire Wincor Nixdorf for $1.8 Billion, Including Debt

by Edward O'Brien 0

Diebold, the American maker of automated teller machines and financial software, said on Monday that it had agreed to acquire Wincor Nixdorf, a German provider of information technology services to the financial industry and retailers, in a cash-and-share deal.

The transaction valued Wincor Nixdorf at 1.7 billion euros, or about $1.8 billion, including debt. It would create the world’s largest maker of A.T.M.s and extend the reach of the two companies: Diebold is strong in the Americas, and Wincor Nixdorf is strong in Europe.

The competitive landscape for financial institutions, ATM manufacturers, and other fintech providers continues to be dynamic and difficult. With many banks and credit unions looking to modernize their branches and self- and assisted-service channels, they are challenged to do so at a reasonable cost. As many FIs continue to invest in latest-generation ATMs, mobile banking solutions, and new branch automation equipment, acquisitions like this can make sense for various stakeholders. In addition to potentially creating greater efficiencies and economies of scale, deals like this can offer a unified customer experience and improved customer service over time.

Overview by Ed O’Brien, Director, Banking Channels Advisory Service at Mercator Advisory Group

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