Vakrangee Limited Makes Strategic Investment in Vortex Engineering to Bolster ATM Business

Vakrangee Limited, a leading technology-driven company focused on financial inclusion, announced a strategic investment in Vortex Engineering Private Limited (Vortex). This move signifies Vakrangee’s commitment to strengthening its position within the ATM industry.

Building a Stronger ATM Ecosystem

Vakrangee has entered into a Share Purchase Agreement with Ventureast Funds, acquiring a 2.4% equity stake in Vortex. This strategic investment underscores Vakrangee’s vision of achieving complete backward integration for its ATM business. By integrating Vortex’s expertise and technology, Vakrangee gains a significant advantage, unlocking new growth opportunities while optimising operational efficiency.

Unlocking Synergies and Innovation

The acquisition of Vortex brings several key benefits to Vakrangee:

• Cost Optimisation: Backward integration allows Vakrangee to leverage Vortex’s cost-effective ATM solutions, resulting in significant cost synergies.
• Technological Expertise: Vortex’s innovative ATM management software and commitment to R&D will give Vakrangee a technological edge in the industry.
• Enhanced Service Delivery: Integration will enable Vakrangee to offer its customers a more comprehensive and streamlined ATM service.

Transaction Details

The transaction is anticipated to be finalised within 30 days, subject to customary approvals and the execution of a definitive Share Purchase Agreement. Vakrangee will pay a cash consideration of ₹0.92 crore to acquire the 2.4% equity interest in Vortex from Ventureast Funds. This acquisition specifically involves 18,305 equity shares held by Ventureast Tenet India Fund and Ventureast Tenet Fund II.

About Vortex Engineering Private Limited

Established as a leader in ATM innovation, Vortex Engineering Private Limited offers a comprehensive range of solutions for the ATM industry. Their focus on research and development has resulted in a line of cost-effective, “green” ATMs designed to maximise return on investment (ROI). Vortex’s world-class ATM Monitoring and Management software empowers financial institutions to optimise ATM channel management with the lowest total cost of ownership (TCO) within the industry. Through their commitment to reliable and sustainable solutions, Vortex actively contributes to the advancement of financial inclusion globally.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.