Radiant Systems

Sep 20, 2018

The New York Times Search By Michael J. de la Merced July 11, 2011 6:07 pm July 11, 2011 6:07 pm Erik S. Lesser/Bloomberg NewsBill Nuti, chief of NCR. NCR agreed on Monday to buy Radiant Systems , a maker of products for the hospitality and retail industries, for $1.2 billion in cash in an effort to expand into the restaurant and entertainment businesses. Under the terms of the deal, NCR will pay $28 a share in a tender offer for Radiant’s shares that will begin by July 25 and run for at least 20 business days. The bid represents a 30 percent premium to Radiant’s closing price on Monday. Related Links “Radiant Systems is a logical and strategic extension for NCR, moving us into attractive fast-growth adjacent markets,” Bill Nuti, NCR’s chairman and chief executive, said in a statement. “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.” NCR plans to turn Radiant into a new business division that is focused hospitality and specialty retail. Several Radiant executives will remain on board and will be led by the company’s chief operating officer, Andrew Heyman. Based in Atlanta, Radiant focuses on customers like restaurants, sports and entertainment locales and specialty retailers. It reported $21.8 million in earnings atop $346.4 million in revenue last year. NCR said that it expected the takeover to add to its adjusted earnings next year. To pay for the deal, NCR will rely on cash on hand and about $1.1 billion worth of new debt. The company has received financing commitments from JPMorgan Chase , RBC Capital Markets, Bank of America Merrill Lynch and Morgan Stanley . The deal is expected to close in the third quarter, pending regulatory approval. NCR was advised by Atlas Strategic Advisors, JPMorgan and the law firm Womble Carlyle Sandridge & Rice. Radiant was advised by Jefferies & Company, SunTrust Robinson Humphrey and the law firm DLA Piper.