(Reuters) – India’s AGS Transact Technologies said on Tuesday it had migrated half of its ATMs back to banks and merchant service providers to minimize disruption, as the debt-saddled payments firm is trying to resume operations across its network.
AGS, which gives digital and cash-based services to banks and corporate clients, provided services to 31,093 ATMs in more than 1,800 cities and towns in India, as of September 30.
The company and its units owe a total of 7.19 billion rupees ($82.5 million) to its creditors including State Bank of India and Axis Bank.
AGS has also faced insolvency proceedings from Maxwel Aircon India, one of its creditors, over alleged unpaid dues.
“The company is committed to gradually resume operations across our network,” AGS said.
AGS has been grappling with financial strain, leading to credit rating downgrades from agencies Crisil and India Ratings, and the resignation of all four of its independent directors over “personal reasons.”
Shares of AGS have fallen 72% since February 4 when Crisil first reported the default.
($1 = 87.1490 Indian rupees)
(Reporting by Kashish Tandon in Bengaluru; Editing by Maju Samuel)
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