OKI Enters the Brazilian ATM Market in Partnership with Itautec
Accelerates ATM Business Expansion in Latin America
TOKYO -- May 15, 2013
Oki Electric Industry Co., Ltd. (TOKYO:6703), a leading telecommunication
manufacturer headquartered in Japan, and Itautec, one of the most important
Brazilian companies of banking and retail automation, personal and corporate
computers and technological services, controlled by ITAÚSA - Investimentos
Itaú S.A. (BM&FBOVESPA), the second largest private conglomerate in Brazil,
today announce a strategic partnership to jointly operate an automation and
services company in Brazil.
The partnership is intended to drive growth to aim for the leading share in
the Brazilian ATM and IT markets by capitalizing on OKI's world top-class
cash-recycling ATM technologies as well as Itautec's extensive customer base
and services network for the maintenance of computers, ATMs and other IT
devices, which is the largest such network in Brazil and reaches more than
OKI and Itautec have signed an agreement whereby OKI will acquire a 70% stake
in a newly established company holding Itautec's Automation and Services
division. Itautec will continue to own the remaining 30% stake in the new
company. Itautec's personal computer unit is not part of this transaction. The
transaction is subject to customary conditions, including regulatory
approvals, and is expected to close by the end of December 2013.
OKI developed the world's first cash-recycling ATM in 1982 and in 2011,
succeeded in developing an ATM capable of simultaneously handling deposits and
withdrawals of mixed banknotes in up to 128 denominations within one unit.
Through its long history in manufacturing ATMs, OKI has accumulated the
industry's leading mechatronics technology, in addition to development,
manufacturing and quality control technologies that allow OKI to manufacture
high-quality products with a short lead-time.
OKI identified development of its cash-recycling ATMs in markets outside of
Japan as one of OKI's key growth areas. OKI has achieved strong track records
in Japan and China, where it holds the leading market share, as well as in
Russia and Indonesia. Capitalizing on these achievements, OKI is focused on
expanding sales in emerging countries, such as those located in Central and
South America, where rapid economic growth is expected.
Itautec's Automation and Services division has a manufacturing facility in
Brazil, service sites throughout the country and sales operations in several
countries in Latin America and Europe. The division designs, develops,
manufactures, sells and maintains automation equipment such as ATMs designed
for financial institutions, and other IT equipment. The Automation and
Services division holds approximately 30% of the market share in Brazil and is
the second largest ATM manufacturer in Brazil. Its leading client is Itaú
Unibanco, ITAÚSA's banking subsidiary and the largest private bank in Latin
America. In order to further expand their business, they had been looking for
a strategic partner with leading-edge technologies.
OKI and Itautec have agreed to cooperate and leverage their respective
strengths since the technology and region overlap is relatively low. The
partnership will further expand the Automation and Services business into the
ATM market in Latin America based on Itautec's solid foundation in Brazil.
"We are delighted to reach an agreement with Itautec," says Hideichi Kawasaki,
President of OKI. "The agreement will enable OKI to design, develop and
manufacture ATMs as well as to sell and provide maintenance services in
Brazil. Moreover, OKI now has a business foothold in Central and South
America. Together with Itautec, we plan for further growth in these expanding
"Itautec is pleased with the partnership with OKI since it enables us to
provide higher value services to customers and to enhance our capabilities to
grow in a sustainable way and broaden our markets, not only with ATMs but also
bank branch systems", says Ricardo Setubal, Chairman of Itautec.
Upon completion of the transaction, OKI will build a solid foothold in Brazil
with an extensive customer base, in addition to designing, developing,
manufacturing, selling and offering maintenance services for ATMs. Moving
forward, OKI will accelerate business development in the Latin American ATM
market and in turn, aim to expand market share.
Itautec S.A. is a Brazilian company that develops and sells products and
solutions in banking automation, retail automation, personal computer,
corporate computer and services through three business units: Automation
Solutions (banking, with ATMs and bank teller terminals; retail, with POS
Point-of-Sales (POS) solutions, self-service terminals and software
platforms), Computer Solutions (desktops, notebooks, netbooks and servers),
and Technology Services (technical support, installations and maintenance
services). Itautec has the 10th largest installed base of ATMs worldwide and
the third largest in Latin America, as reported by Retail Banking Research, a
British consulting firm.
ITAÚSA, headquartered in Brazil, is one of the country's largest private
conglomerates. The main companies which ITAÚSA controls are leaders in their
business areas: Itaú Unibanco Holding S.A. and its subsidiaries Itaú Unibanco
and Banco Itaú BBA in the financial segment and Duratex, Itautec and
Elekeiroz, leaders in their respective industrial areas. For additional
information about ITAÚSA, visit: www.itausa.com.br.
About OKI Electric Industry (OKI)
Founded in 1881, OKI Electric Industry is Japan's leading telecommunications
manufacturer in the Info-telecom field. Headquartered in Tokyo, Japan, OKI
provides top-quality products, technologies, and solutions to customers
through its info-telecom systems, such as IP-PBX and call center systems, and
printer operations. As a leader in ATMs, OKI holds the top share in the
Japanese and Chinese cash-recycling ATM markets. Visit OKI's global website at
*The names of the companies and products mentioned in this document are the
trademarks or registered trademarks of the respective companies and
OKI Electric Industry
Kenichi Murakawa/Sonomi Kitamura, +81-3-3501-3835
Public Relations Division
Maquina da Notícia – Agência de PR da Itautec
Tatiana Guerra Phone: (11) 3147-7411
Vanessa Portes Phone: (11) 3147-7467
Fernando Kadaoka Phone: (11) 3147-7498
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