Pacific Processing raises $10m to boost ATM portfolio acquisitions
In a significant move to expand its footprint in the ATM services sector, Pacific Processing has announced a $10 million capital raise. This ambitious funding initiative is set to revolutionize the ATM deployment landscape through a mix of “Partial Acquisitions” and full acquisitions across seven key markets within Southern California and Las Vegas. Additionally, the introduction of a “Micro Partnership” offering aims to provide a nationwide platform for growth and collaboration. This strategy targets independent ATM deployers (IADs) managing portfolios of 25-250 machines, offering them a unique opportunity to scale their operations and enhance profitability.
Pacific Processing, a leader in ATM equipment, services, and portfolio management, is leveraging this capital injection to facilitate strategic acquisitions and partnerships. These initiatives are designed to offer ATM operators the necessary resources to overcome common growth barriers. By selling a portion of their business, operators can reinvest in their operations, benefiting from Pacific Processing’s access to capital, industry expertise, and advanced technological tools. The company’s proprietary forecasting algorithms and software enhancements stand to significantly improve operational efficiency, uptime, and overall profitability.
Gianni Del Vecchio, CEO and Founder of Pacific Processing, shared his insights, reflecting on the challenges he faced while scaling his own ATM business. Del Vecchio’s journey from a modest startup with a $5,000 loan to overcoming growth plateaus through partnership highlights the critical need for a reliable funding source. His vision for the capital raise is to empower IADs to achieve sustainable growth without the burdens that typically constrain cash-intensive businesses.
Del Vecchio emphasizes, “It doesn’t have to be this way.” His respect for the dedication of ATM operators, drawn from personal experience in establishing a successful ATM network, underscores the fund’s goal to alleviate financial pressures and enable business owners to achieve their aspirations.
The targeted markets for Pacific Processing’s acquisition and partnership initiatives include Los Angeles County, Riverside County, San Bernardino, Ventura County, Orange County, San Diego County, and Clark County in Nevada, covering the greater Las Vegas area. The company aims to acquire 50-100% of qualifying ATM portfolios, offering comprehensive support and transition plans for operators looking to exit or grow their businesses.
In addition to full acquisitions, Pacific Processing’s Micro Partnership program represents a novel approach to collaboration. By purchasing 50-75% of an ATM portfolio, Pacific Processing allows sellers to profit from continued operations, providing a flexible model for reinvestment and strategic growth. The company commits to ongoing support, ensuring equal partnership and investment proportions, and conducting quarterly evaluations to track progress and success.
Pacific Processing’s criteria for portfolio consideration prioritize operators with 25-250 ATMs generating a monthly gross profit of $5,000-75,000 and at least 70% contract coverage. The company is also open to processing-only businesses and IADs with a strong network of trained affiliates and merchant-owned portfolios, emphasizing the importance of robust contract coverage.
Pacific Processing’s $10M capital raise is a strategic move that addresses a critical gap in the ATM services market. By offering a blend of acquisitions and partnerships, the company not only facilitates growth for independent operators but also strengthens its own market position. This initiative is poised to transform the ATM deployment industry, offering a scalable model for operators seeking to expand their reach and profitability. The focus on technological enhancement and operational efficiency further cements Pacific Processing’s role as a forward-thinking leader in