CHICAGO, Jan. 4 -Bantek West Inc. and EFMARK Premium Armored, two pioneers in servicing automated teller machines (ATMs), today announced a merger of the two companies. The merger pairs the complementary strengths and resources of both companies to create a clear nationwide leader in the marketplace, with fully integrated ATM cash handling, maintenance, and complete program management.
Together, the companies will offer a wide and robust range of services for every aspect of an ATM owner's ATM program, including ATM hardware sales, maintenance, cleaning, armored services, cash management, and more. Customers also will gain access to an even broader service portfolio, including branch coin and cash services, and maintenance on equipment such as bank-system computers, teller cash dispensers, recyclers, and teller/platform automation systems. Simultaneously, Bantek customers will benefit from EFMARK's broad ATM maintenance and service reach, hardware sales, cash management, and depth of technical expertise.
The Edgewater Funds, a Chicago-based private equity firm that is a minority shareholder in Bantek, will help fund the merger and will become a minority shareholder in the combined company. The companies will operate as wholly owned subsidiaries of a newly formed holding company that will continue to be owned by current shareholders of the companies.
The holding company will adopt a new name and identity in early 2006 and all services will be marketed and sold solely under that new name shortly thereafter. The leadership teams of Bantek and EFMARK possess decades of experience in the financial services industry and will continue to own and operate the new company.
The merger creates a national footprint of 75 armored branches located in 43 states, capable of servicing the entire Continental U.S. In addition, the new company will have a national infrastructure of more than 2,500 employees, including 800 seasoned first line, second line, and desktop service technicians, located across the Continental U.S.
The merged company's unprecedented reach and superior depth of services enhances EFMARK's Managed ATM Services package, a unique outsourcing solution that provides a single partner for every aspect of a financial institution's ATM program. By consolidating all services under a single provider, customers can increase efficiency and cut redundant costs in their ATM networks.
EFMARK Premium Armored and Bantek customers will continue to receive uninterrupted service, and all existing service contracts will remain in place. As the merger is completed, customers will receive additional information on the extended capabilities of the new company.
"Our merger with Bantek will enable us to continue to keep pace with increasing growth and consolidation in the financial services industry," said Mark Hoppe, president and CEO of EFMARK Premium Armored. "As financial institutions seek cost efficiencies in their growing ATM networks, our combined company will be in a unique position to offer an end-to-end solution to meet their every need."
"Bantek joining forces with EFMARK creates an unparalleled value proposition for financial institutions," said Fred Wich, vice chairman of Bantek. "While the companies have had the same strategic vision, our strengths complement one another, and each company brings something new to the table, making us better equipped to deliver the benefits of a true single-source provider."
Leif Houkom, Bantek president, added, "This merger is a real win-win for our associates and our customers. We have had great respect for one another as competitors. We'll be even stronger together than we were apart."
As a result of the merger, the combined company will service over 65,000 ATMs nationwide including cash services for 40,000 ATMs, first line services for 20,000 ATMs and second line services for 40,000 ATMs. The company also will service a range of other equipment for financial institutions and ATM owners, including 65,000 desktop workstations and printers, 1,500 servers, 500 teller cash dispensers, and several thousand pieces of coin and currency equipment.
About EFMARK Premium Armored
EFMARK Premium Armored is the nation's largest "ATM only" service company, providing financial institutions with a single-source solution for ATM equipment and maintenance, cash management and delivery services, advanced monitoring and reporting tools, and overall ATM program management. Founded in 1981, EFMARK services more than 50,000 ATMs in 42 states, enhancing profitability and customer satisfaction for more than 1,600 financial institutions. For additional information on EFMARK, visit the company's Web site at http://www.efmark.com .
About Bantek
Founded in 1986, Bantek is a leading national provider of cash-management and maintenance services for automated teller machines and bank-system desktop computers. The company strives to be the best national, integrated, single- source solution for banks and other deployers of ATMs. Its cash-handling services include ATM restocking and deposit pickup, as well as full bank branch armored pick-up and delivery services. Its maintenance services include ATM hardware and software repair, installation and upgrades, as well as maintenance of teller cash dispensers, recyclers, teller/platform automation systems and other banking equipment.
About the The Edgewater Funds
The Edgewater Funds is a Chicago-based private equity firm with over $1 billion in capital under management. Through its Edgewater Growth Capital Partners funds, the firm partners with management to help accelerate growth in their businesses. Edgewater focuses on funding high quality middle market companies where it can add substantial value through the firm's capital, experience, and broad network. Edgewater leverages the experiences of its partners who have distinguished themselves as successful CEOs and business leaders.
