New York, October 04, 2016 -- Moody's Investors Service ("Moody's") has placed Cardtronics, Inc.'s ("Cardtronics") credit ratings under review for downgrade, including the company's Ba2 Corporate Family Rating (CFR), Ba2-PD Probability of Default Rating ("PDR"), and the Ba3 rating on Cardtronics' $250 million senior unsecured notes. The review was prompted by the announcement of the company's planned $500 million all-cash acquisition (including transaction costs) of DirectCash Payments Inc. ("DirectCash"). Cardtronics' leverage, which approximated 2x (Moody's adjusted) as of June 30, 2016, will rise by 1x as a result of the debt-financed transaction. However, given the company's healthy free cash flow production, a downgrade, if any, is not expected to exceed one notch. The SGL-2 rating is not affected but may change depending on the liquidity profile upon consummation of the acquisition.
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