Western Union to Buy a Well-Known Money Transfer Service
By Marko Vidrih on The Capital
Western Union offered to buy a no less well-known money transfer service MoneyGram. It is reported by Bloomberg.
According to the publication, the deal has not yet been completed, and both companies are considering a final decision.
Western Union and MoneyGram have been competitors for decades. But recently, both companies have faced competition from young digital companies. In addition, both players suffered from the Covid-19 pandemic, as they are still heavily dependent on physical departments.
In 2017, the Chinese company Ant Financial, a subsidiary of the Alibaba Group, almost bought MoneyGram for $1.2 billion. But the Committee on Foreign Investments in the United States blocked the deal.
Last year, MoneyGram entered into an agreement with Ripple, under which the cryptocurrency company agreed to invest $50 million. Under the partnership, MoneyGram is required to use the digital currency Ripple XRP and xRapid XRP transfer platform to make cheap cross-border payments.
Author: Marko Vidrih
Featured image credit: Unsplash
