19 October 2017
Register now

Euronet sparks MoneyGram bidding war with Ant Financial

14 March 2017  |  4652 views  |  0 Abraham lincoln US note

Euronet Worlwide is testing the financial firepower and resolve of Alibaba's Ant Financial unit by outbidding the Chinese behemoth's $13.25 per share offer for US money transfer business MoneyGram International.

Euronet has made a proposal to acquire all shares outstanding of MoneyGram International for $15.20 in cash, valuing the company at more than $1 billion, in addition to the assumption of approximately $940 million of MoneyGram’s debt outstanding.

The proposal represents a premium of approximately 15% over the Ant Financial offer and a premium of 28% over the closing price of $11.88 for MoneyGram stock on the day that the Chinese firm made its bid.

The deal value is significantly lower than Euronet's last attempt to take over MoneyGram back in 2007, when it made an unsolicited $1.65 billion bid to acquire the firm.

Euronet says the tabled deal offers stockholders a clearer path to a faster closing, with no regulatory or oversight issues casting a cloud on the deal.

Since the acquisition of Ria in 2006 and La Nacional the following year, Euronet has grown its money transfer segment from just more than $200 million in pro forma revenue to over $800 million primarily through the use of independent agents for disbursement, complementing Moneygram's focus on large retailers and national post offices.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Ant Financial to make $200 million investment in South Korea's Kakao Pay

Ant Financial to make $200 million investment in South Korea's Kakao Pay

21 February 2017  |  5067 views  |  0 comments | 7 tweets | 9 linkedin
Ant Financial takes equity stake in Phillippine mobile money firm

Ant Financial takes equity stake in Phillippine mobile money firm

20 February 2017  |  5380 views  |  1 comments | 6 tweets | 6 linkedin
China's Ant Financial agrees $880m deal to buy MoneyGram

China's Ant Financial agrees $880m deal to buy MoneyGram

26 January 2017  |  8996 views  |  2 comments | 27 tweets | 39 linkedin
China's Ant Financial goes global in bid for two billion users in 10 years

China's Ant Financial goes global in bid for two billion users in 10 years

20 January 2017  |  10573 views  |  0 comments | 23 tweets | 15 linkedin
Euronet earnings hit by Indian cash supply shortage

Euronet earnings hit by Indian cash supply shortage

30 November 2016  |  3469 views  |  1 comments | 4 tweets | 4 linkedin
Ant Financial enters SE Asia with investment in mobile money firm Ascend

Ant Financial enters SE Asia with investment in mobile money firm Ascend

01 November 2016  |  5257 views  |  0 comments | 5 tweets | 3 linkedin
Euronet ends MoneyGram pursuit

Euronet ends MoneyGram pursuit

28 February 2008  |  4884 views  |  0 comments
Euronet bids for Moneygram

Euronet bids for Moneygram

13 December 2007  |  6400 views  |  0 comments
Euronet to acquire money transfer outfit La Nacional

Euronet to acquire money transfer outfit La Nacional

17 January 2007  |  6871 views  |  0 comments
Euronet to buy money transfer firm Ria

Euronet to buy money transfer firm Ria

21 November 2006  |  8398 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.vasco.comRegister nowvisit www.capgemini.com

Top topics

Most viewed Most shared
Ripple looks to drive bank adoption with $300m XRP rebate programmeRipple looks to drive bank adoption with $...
15562 views comments | 12 tweets | 4 linkedin
Swift positive on blockchain, but big challenges remainSwift positive on blockchain, but big chal...
8752 views comments | 16 tweets | 22 linkedin
hands typing furiouslyHow artificial intelligence can deliver a...
8401 views 0 | 8 tweets | 9 linkedin
satelliteGates Foundation backs Ripple collaboratio...
7848 views comments | 13 tweets | 10 linkedin
IBM uses blockchain to improve cross-border payments processingIBM uses blockchain to improve cross-borde...
6994 views comments | 9 tweets | 17 linkedin

Featured job

Competitive base, commission, benefits
London, UK

Find your next job