AGS on expansion mode, looks to increase international footprint

Backed by a strong client list and the government’s mega-plans to boost India’s digital economy, the Mumbai-headquartered AGS Transact Technologies Ltd is on a major expansion mode including increasing international footprint.

AGS is one of the largest integrated omni-channel payment solutions providers in India in terms of providing digital and cash-based solutions to banks and corporate clients.

AGS is looking to raise Rs 800 crore through its initial public offering (IPO) -- complete offer-for-sale (OFS) by existing shareholders wherein Rs 792 crore will be sold by promoter Ravi B Goyal and rest Rs 8 crore by several other shareholders -- VC Gupte, Shailesh Shetty, Rakesh Kumar, Nikhil Patiyat and Rajesh Harshedrai Shah.

“We are looking at a big growth strategy,” AGS executive director Stanley Johnson told reporters at its facility in Mahape in the satellite township of Navi Mumbai.

AGS works in three key segments -- payments solutions, banking automation solutions and other automation solutions like in case or retail.

The payment solutions include ATM and CRM outsourcing and managed services, cash management services, iCDs, digital payment services which include toll and transit solutions, Fastlane, transaction switching services, services through POS machines and agency banking.

Its banking automation solutions include sale of ATMs and CRMs, currency technology products and self-service terminals and related services and upgrades.

It also provides machines and related services to customers in the retail, petroleum sectors.

According to Johnson, the AGS have so far installed 4,20,000 machines or customer touchpoints. “We are the second-largest company in India in terms of revenue from ATM managed services under the outsourcing model, and revenue from cash management and number of ATMs replenished,” he said.

Asked about the growth areas, he said that the company is looking at all areas, however, added that the POS at petroleum outlets and automation is a huge opportunity.

“We will focus on digital payment solutions, payments-as-a-service to payments-as-a-convenience through Ongo card and ecosystem, focus on ATM and CRM outsourcing and managed services, cash management services,” he said.

Johnson also said that the company also plans to expand internationally.

“We are providing end-to-end cash and digital payment solutions and technology for banking, retail and e-commerce in foreign countries like Sri Lanka, Singapore, Cambodia, Philippines and Indonesia,” he said.

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