Cardpoint grows ATM estate as sales soften

Independent cash machine operator Cardpoint has added a further 1070 ATMs to its UK estate through the £12.9 million acquisition of the cash machine business of Travelex.

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Cardpoint grows ATM estate as sales soften

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News of the deal comes as Cardpoint reports a softening in sales since its November trading update and the resignation of finance director Robin Gregson, who is leaving in May to pursue other opportunities. Philip Lanigan, formerly finance director at recruitment firm NES, will replace him.

House broker Panmure Gordon has reduced its pretax profit forecast for the firm by £0.5 million £8.5 million pounds for the year, but remains bullish about prospects for 2008, raising its price target from 120 pence to 135 pence.

The company announced in October that it was holding preliminary talks with an un-named suitor that could lead to a potential cash offer of 100 pence per share for the group.

Chairman Bob Thian - who was brought in as part of a major management shake-out shortly after the bid talks went public - says that although the initial approach was rejected, talks are continuing. He says the firm would likely accept a takeover offer of 125 pence a share from one of a number of interested parties who have so far expressed an interest, including private equity.

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