Banks hit by AGS may turn to others for cash management operations

AGS is the second largest ATM servicing and cash management in the country with presence across 2,200 cities and towns

A few banks, whose ATM services have been impacted due to the liquidity issues of AGS Transact Technologies, are exploring the option of shifting their cash management operations to other providers. This would minimise customer inconvenience, said people in the know.

 

AGS Transact, which provides cash management services to 32,151 ATMs, with an average daily cash replenishment of Rs 1,933 crore, has defaulted on repayment obligations for certain outstanding borrowings of the company and its subsidiary Securevalue India Ltd (SVIL), due to liquidity issues.

 

“The company acknowledges stakeholder concerns regarding recent disclosures and their business and operational impact. The management