J.P. Morgan Reports On Latest Acquisition For CATM

J.P. Morgan is reiterating its Overweight rating on Cardtronics

as the company announced an agreement to acquire a large number of ATMs. According to J.P. Morgan, “This evening, Cardtronics, Inc (

) announced a definitive agreement to acquire ~3,700 ATMs and retail placement and branding contracts from a subsidiary of EDC ATM for ~$145mm. The deal is expected to be accretive to adjusted net income per share in 2011 and increasingly accretive in future years. Strategically, the acquisition will enhance CATM's footprint in the Midwest and Great Lakes while also expanding the company's convenience store presence. Expected stock reaction: Positive.” CATM closed yesterday at $21.