Latest news with #Intermex
Yahoo
13 hours ago
- Business
- Yahoo
Western Union to buy International Money Express for $500m
The Western Union Company has reached an agreement to acquire International Money Express (Intermex) for an enterprise value of around $500m ($16 per share). Set up in 1994, Intermex leverages technology that facilitates international money transfers from several countries, including the US, Canada, and parts of Europe, to over 60 countries globally. The acquisition aims to leverage Intermex's customer base of six million, integrating them with Western Union's digital services and expanding the company's retail operations in the US. Intermex chairman and CEO Bob Lisy said: 'This agreement represents an exciting opportunity to provide Intermex's shareholders with significant and certain value, accelerating our omni-channel strategy, while continuing to deliver for our customers. 'This combination with Western Union brings together two complementary businesses that are well positioned to drive growth across North America.' Financially, Western Union expects the acquisition to be 'immediately accretive' and positively impact its adjusted earnings per share by over $0.10 in the first year post-acquisition. The agreed price per share reflects a 50% premium on Intermex's 90-day volume-weighted average share price. The company also forecasts cost synergies of about $30m annually within the first two years, with the possibility of additional revenue synergies through the integration of Intermex's network. The completion of the deal is projected for mid-2026, pending customary conditions and subject to regulatory approvals. Western Union president and CEO Devin McGranahan stated: 'This acquisition is a disciplined, strategic step that strengthens our North America operations and expands our presence with key consumer segments across the US. 'Intermex has built a well-recognised brand, as well as strong agent and customer relationships. Together, we will expand our retail footprint, unlock operational efficiencies, and accelerate digital engagement.' In June, Western Union partnered with Zūm Rails, a payments platform, to enable transfers from Canada to a wide international network. This partnership leverages Zūm Rails' technology and the Interac e-Transfer system to offer expedited remittance services. "Western Union to buy International Money Express for $500m " was originally created and published by Electronic Payments International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Finextra
13 hours ago
- Business
- Finextra
Western Union to acquire Intermex
The Western Union Company ('Western Union') (NYSE: WU) and International Money Express, Inc. ('Intermex') (NASDAQ: IMXI) today announced they have entered into a definitive agreement under which Western Union will acquire Intermex in an all-cash transaction at $16.00 per IMXI share, representing a total equity and enterprise value of approximately $500 million. 0 This acquisition strengthens Western Union's retail offering in the U.S., expands market coverage in high potential geographies, and is expected to accelerate digital new customer acquisition. Intermex's deep market knowledge, strong agent relationships, and operational expertise further positions Western Union to capture growth in the Americas. 'This acquisition is a disciplined, strategic step that strengthens our North America operations and expands our presence with key consumer segments across the U.S.' said Devin McGranahan, President and CEO of Western Union. 'Intermex has built a well-recognized brand, as well as strong agent and customer relationships. Together, we will expand our retail footprint, unlock operational efficiencies, and accelerate digital engagement.' 'This agreement represents an exciting opportunity to provide Intermex's shareholders with significant and certain value, accelerating our omni-channel strategy, while continuing to deliver for our customers' said Bob Lisy, Chairman and CEO of Intermex. 'This combination with Western Union brings together two complementary businesses that are well positioned to drive growth across North America.' Strategic Rationale and Benefits: Strategic Alignment Unique opportunity for Western Union to acquire a well-positioned remittance business, adding scale in historically high-growth Latin America geographies. Opportunity to serve Intermex's 6 million customers, giving them access to Western Union's robust digital platforms and capabilities. Strengthened U.S. Retail Platform Expands and stabilizes Western Union's U.S. retail footprint, enhancing resilience and improving customer access across the Americas. Creates an opportunity to leverage Intermex's decades of operational and cultural expertise to drive targeted, sustainable retail growth. Meaningful Synergy Potential Expect $30 million in annual run-rate cost synergies within 24 months. Potential for additional revenue synergies through broader distribution and product offerings, enhancing speed, reliability, and customer value. Transaction Details: Under the terms of the agreement, Western Union will acquire Intermex for $16.00 per share in cash, representing approximately $500 million in equity and enterprise value. This reflects a roughly 50% premium to its 90-day volume-weighted average price. The acquisition is expected to be immediately accretive to Western Union's adjusted EPS by more than $0.10 in the first full year post close and to generate approximately $30 million in annual run-rate cost synergies within the first 24 months, with potential further upside from revenue synergies by integrating Intermex's capabilities into Western Union's partner and customer network. The transaction has been unanimously approved by Western Union's Board of Directors. Intermex's Board of Directors - acting on the unanimous recommendation of its independent Strategic Alternatives Committee - has also unanimously approved the transaction and recommends that Intermex stockholders vote in favor of the merger. The transaction, expected to close in mid-2026, is subject to customary closing conditions and regulatory approvals, including clearance under the Hart-Scott-Rodino Act and approvals from financial regulators, as well as approval by Intermex's stockholders. Following completion, the companies expect to implement a coordinated integration plan designed to provide a smooth transition for all customers, agents, and partners.
Yahoo
21 hours ago
- Business
- Yahoo
Western Union to acquire Intermex for about $500 million
(Reuters) -Money transfer company Western Union said on Sunday it will acquire Intermex, a U.S. firm that focuses on payment transfers to Latin America and the Caribbean, for about $500 million in cash. Western Union will pay $16 for each Intermex share, representing a premium of over 70% to Intermex's last close of $9.28 on Friday. Western Union, among the world's top providers of money transfer services, said the deal was expected to add to its adjusted earnings per share by more than $0.10 in the first full year after close. The company added that the deal would help it expand in the "historically high-growth Latin America geographies." In the first quarter of 2025, Intermex said it will discontinue issuing quarterly guidance. The company also cut its annual forecasts for profit and revenue, citing economic uncertainty. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Zawya
21 hours ago
- Business
- Zawya
Western Union to acquire Intermex for about $500mln
Money transfer company Western Union said on Sunday it will acquire Intermex, a U.S. firm that focuses on payment transfers to Latin America and the Caribbean, for about $500 million in cash. Western Union will pay $16 for each Intermex share, representing a premium of over 70% to Intermex's last close of $9.28 on Friday. Western Union, among the world's top providers of money transfer services, said the deal was expected to add to its adjusted earnings per share by more than $0.10 in the first full year after close. The company added that the deal would help it expand in the "historically high-growth Latin America geographies." In the first quarter of 2025, Intermex said it will discontinue issuing quarterly guidance. The company also cut its annual forecasts for profit and revenue, citing economic uncertainty. (Reporting by Harshita Meenaktshi in Bengaluru; Editing by Muralikumar Anantharaman)
Reuters
21 hours ago
- Business
- Reuters
Western Union to acquire Intermex for about $500 million
Aug 10 (Reuters) - Money transfer company Western Union (WU.N), opens new tab said on Sunday it will acquire Intermex (IMXI.O), opens new tab, a U.S. firm that focuses on payment transfers to Latin America and the Caribbean, for about $500 million in cash. Western Union will pay $16 for each Intermex share, representing a premium of over 70% to Intermex's last close of $9.28 on Friday. Western Union, among the world's top providers of money transfer services, said the deal was expected to add to its adjusted earnings per share by more than $0.10 in the first full year after close. The company added that the deal would help it expand in the "historically high-growth Latin America geographies." In the first quarter of 2025, Intermex said it will discontinue issuing quarterly guidance. The company also cut its annual forecasts for profit and revenue, citing economic uncertainty.
