Money transportation is becoming uneconomic. Is this the end for cash?

If you’ve ever taken money out at an Australian ATM, been handed $20 change at a supermarket or paid someone in cash, you’ve probably used the services of Armaguard.

Owned by Linfox Group, Armaguard is Australia’s largest currency transport business, servicing about 90% of the cash-in-transit market.

But the company is struggling. The use of cash as a means of payment has declined sharply in recent years, a trend that was only turbocharged by the pandemic. Last year, Armaguard said it would need a $190 million lifeline over the next three years in order to stay afloat.

Last week, the company rejected a $26 million rescue offer put together by some of Australia’s biggest banks and retailers, which would have required it to open its books.