Armaguard Group is committed to our strategic goal of securing a smarter future for our team members, customers and communities.
We are pleased to announce that we have reached an agreement with Prosegur Australia to merge with Armaguard, subject to regulatory approvals, including by the Australian Competition and Consumer Commission (ACCC).
The proposal for merger authorisation to be submitted to the ACCC outlines a planned merger of Armaguard and Prosegur in Australia under Armaguard branding, and includes cash in transit (CIT), technical services and ATM networks. The proposal does not include entities and services outside Australia.
The proposed merger represents a significant and positive development in the management of cash in transit and wholesale cash distribution in Australia, and will secure the immediate future of reliable access to cash for the Australian economy.
Cash usage has been in decline over the past decades, which has accelerated due to the impacts of the COVID-19 pandemic. This decline has led to significant excess capacity within the CIT services infrastructure, despite both Armaguard and Prosegur Australia each separately implementing numerous network optimisation projects, and working with the RBA on industry reform.
Put simply, the declining use of cash for payments is no longer enough to sustain two major players in the CIT industry. However, cash remains a critical component of Australian society. Armaguard anticipates a ‘less cash’ future, not a ‘cashless’ future, and our intention, where possible, is to support the ongoing employment of our team members, as well as the needs of our customers and the community by building a sustainable network.