Western Union is absorbing MoneyGram, isn't it?
According to some unofficial sources of information, the world's leading money transfer system Western Union has announced the fact of the acquiring MoneyGram International Inc. Negative financial showings of the last one have become the reason for this decision. MoneyGram reported that the annual revenue has decreased by $72 million.
In addition to the customer base, Western Union will also receive MoneyGram company debt, which is equivalent to $960 million. The market value of the company at the moment is $415 million. To compare, Western Union capitalization exceeding $ 11 billion, the shares of which has recently increased by 6%.
The present MoneyGram owners are Thomas H. Lee Partners company and Goldman Sachs banking group. The owners of both companies are declining to comment the course of events, however it is known that the conversation about MoneyGram absorption by Western Union is at the early stage and the process has already been started.