DULUTH, Ga. — NCR Corp. announced that it will acquire Radiant Systems, a leading provider of multichannel point-of-sale and managed host service solutions to the hospitality and specialty retail markets, through a cash tender offer of $28 per Radiant Systems share.
The equity purchase price of $1.2 billion has been approved by the boards of directors of each company. NCR and Radiant Systems currently anticipate the transaction will close during third quarter 2011, subject to regulatory approval.
NCR said that with the addition of Radiant Systems, NCR will create a third core industry vertical, after its financial and retail lines of business, and establish category leadership in the hospitality and specialty retail markets. Andrew Heyman, currently COO of Radiant Systems, will oversee the new vertical.
"Radiant Systems is a logical and strategic extension for NCR, moving us into attractive fast-growth adjacent markets," said NCR chairman and CEO Bill Nuti. "Radiant Systems has delivered 15% compounded annual revenue growth over the last five years, along with impressive margin expansion as a result of the high customer demand for its expansive software offerings. This acquisition will enable our companies to accelerate expansion through the powerful combination of each other's strengths and NCR's track record of driving transformational change. We will bring together two strong teams with Radiant Systems playing a vital role in enhancing our long-term growth, margin expansion and earnings appreciation."