HOUSTON – Shares in Cardtronics, the nation’s largest independent ATM operator, fell more than 11% yesterday after the company priced its initial public offering at $10, well below expectations.
The shares were trading as low as $8.33 yesterday, before closing down 5%, at $9.50.
Cardtronics, which has become the dominant electronic funds transfer service provider for credit unions, had originally planned to offer the shares at as much as $14, but cut the IPO price just before Tuesday’s debut. Cardtronics expects to receive about $110 million in net proceeds from the reduced offering, which will be used to pay down debt.
Over the past two years the operator of 30,000 ATMs has carved out the dominant role among credit unions, with deals for members of CO-OP Financial Services, Credit Union 24 and Financial Services Centers Cooperative to access its cash machines.
