BTI Payments, a joint venture between Banktech Group and ICICI Ventures, plans to install white label ATMs in grocery stores, telecom shops and photocopying facilities in Tier II and III cities and smaller towns.

Not owned by banks

The company, which holds the RBI licence to install 9,000 white label ATMs, is making elaborate arrangements to install 1,000 units this fiscal. White label ATMs are not owned by banks and are just cash-dispensing machines.

“We have set our eyes on Tier II, III and smaller cities and found that grocery stores, telecom shops and photocopying facilities are the ideal places to install ATMs as a lot of activities revolve around them,” K Srinivas, Managing Director and CEO, BTI Payments, told Business Line.

The company recently installed ATMs in Gubbi and in kirana shops in two more towns in Karnataka which became quite popular. “Banktech ATMs globally are not on main roads, they are inside 7/11 convenience stores or in petrol or railway stations,” Srinivas pointed out.

“As we go beyond Tier I and II cities, people are not literate. It is a hurdle for them to operate unmanned ATMs, so a trusted shopkeeper can guide them,” he explained.

Banktech India, which was set up in 2008, has experience in installing and handling Brown Label ATMs for clients such as Union Bank, IOB, Catholic Syrian Bank, Federal Bank, Dhanalaxmi Bank and Syndicate Bank.

“Earlier, we helped banks install ATMs. Today, we manage banks’ ATMs partnering them. We have about six customers and handle about 800-10,000 ATMs. For our expansion, we are basically concentrating on South Indian banks,” said Srinivas.

BTI Payments is also eyeing a sizeable transactions from Kishan Card holders in Tier II and III cities.

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