It is understood that the PSNI have arrested three people in Co Armagh and recovered the two ATMs stolen in Dundalk, Co Louth overnight.
The raid on the AIB and Ulster Bank ATMs on Clanbrassil Street occurred at around 3.30am.
Two vehicles were set alight at Dundalk Garda Station to hinder the Garda response.
The raiders were intercepted by members of the Garda Armed Support Unit and following a traffic pursuit crossed the border into Northern Ireland.
LMFM reported that a car was subsequently found burnt out at Deerpark in Bellurgan.
An Garda Siochana say they are working very closely with colleagues in the PSNI. As this is an ongoing operation no further information is being made available at this time.
Subscribe or register today to discover more from DonegalLive.ie
Buy the e-paper of the Donegal Democrat, Donegal People's Press, Donegal Post and Inish Times here for instant access to Donegal's premier news titles.
Keep up with the latest news from Donegal with our daily newsletter featuring the most important stories of the day delivered to your inbox every evening at 5pm.