IPO-linked India1 Payments Ltd, which is currently rolling out 300-400 ATMs in a month, hopes to roll out more than 20,000 of these machines over the next 4-5 years to ensure cash is available to customers in the semi-urban and rural areas, its managing director and CEO K Srinivas said on Sunday. “The rise in interchange fees by RBI, coupled with various structural growth drivers, including the expected increase in cash withdrawal operations, will accelerate the rollout of white-label ATMs in the country,” he said. -he declares.

ATMs set up, owned and operated by non-bank entities are called White Label ATMs (WLAs). At present, the Bengaluru-based company operates a network of 10,300 WLAs and rolls out its ATMs under the “india1ATMs” brand.

It is the second largest ATM brand in semi-urban and rural areas after State Bank of India (SBI). India1 Payments, promoted by Australia’s Banktech Group and formerly known as BTI Payments, has installed these machines primarily in semi-urban and rural areas of 14 states and union territories.

“In calendar year 2021, India1 has rolled out over 3,000 ATMs and is expected to continue at the same rate over the next 4-5 years given the low penetration of ATMs in semi-urban India This should put India1 in good stead to be a large ATM network with over 20,000 ATMs,” Srinivas told PTI. He further said that the company will continue to focus on states like UP, Bihar and West Bengal, which have low ATM penetration.

The company is committed to ensuring the availability of cash at its ATMs, especially those located in rural areas. “We are aware that when a customer comes to our ATMs in rural areas after traveling 8-9 km, they should be able to withdraw cash,” he said.

Srinivas said the company may consider rolling out ATMs in the northeast region next year. Currently, the company is not present in the region. “We are committed to improving financial inclusion through the accessibility of our ATM services in under-reached semi-urban and rural areas of the country,” he said.

According to the latest RBI data in September, there were 2.4 lakh ATMs in the country, of which about 28,000 are white label ATMs. The company has grown more than 15% over last year and accounts for more than 50% of the additional vending machines deployed during this period.

It serves over 72 million customer transactions and facilitates a gross transaction value of over Rs 13,600 crore every quarter on average. Regarding the company’s future growth strategy, Mr. Srinivas said the company will continue to expand the ATM network in semi-urban and rural areas, improve local operational capabilities and drive profitability through customer engagement and cost optimization. In addition, the company will focus on offering micro-ATM services to more remote areas, among others, he added.

India1 Payments, promoted by Banktech Group, was incorporated in 2006 and subsequently invested by ICICI Ventures in 2013. The company, which has already received the green light from Sebi to launch the initial share sale, plans to take its public offering out in months. future.

The initial public offering (IPO) includes a new issue of shares worth Rs 150 crore and an offer to sell (OFS) of 1.03 crore shares by promoters and investors. The SFO consists of the sale of 1 lakh equity shares by Banktech Group, up to 25.08 lakh equity shares by BTI Payments Singapore, up to 49.94 lakh equity shares by India Advantage Fund S3 I, up to 24.86 lakh equity shares per India Advantage Fund S4 I and up to 2.16 lakh shares per Dynamic India Fund S4 US.

The proceeds from the new issue will be used to repay debt, fund the company’s capital expenditures, the establishment of ATMs in India and general corporate purposes.