The Moneycorp Group has signed an agreement to acquire US-based corporate international payments business, Commonwealth Foreign Exchange, Inc.
The acquisition, subject to regulatory licensing approvals, will allow moneycorp to extend the geographical reach of its payments platform, further supporting customer acquisition and international expansion.
Commonwealth FX was established in 1996, and offers foreign exchange and international payments services to corporate clients in the US. During 2016, the business enabled over 3 billion dollars to be moved across the world. The business is headquartered in Providence, Rhode Island, with regional offices in New York, Los Angeles, San Francisco and Washington DC. The business serves over 4,000 customers in the US, with a team of over 60 specialist foreign exchange professionals.
Acquiring Commonwealth FX is the latest move in moneycorp’s ambitious global expansion strategy, which has already seen the specialist advance into a number of overseas territories. During 2016 moneycorp acquired a bank licence, allowing the business to continue its expansion in FX products. In addition, moneycorp introduced a corporate offering in Spain; launched a full-branch in Romania; and signed one of its largest ever commercial partnerships with global news giants CNN, to provide services to many thousands of customers transferring money to and from the US.
Domestically, moneycorp has seen strong organic growth over the last twelve months. During 2016, the company’s Corporate International Payments business experienced record revenue growth of 28% year on year, due to enhancements in its product offerings and strong customer acquisition.
Nick Haslehurst, CFOO at moneycorp said:
“Moneycorp’s appetite for overseas expansion is stronger than ever. We are focused on entering markets that offer solid and sustainable growth opportunities, and we see huge potential in the US among corporate and private clients alike. We have already laid the foundations for a solid platform in the US via our major partnership with CNN, and the acquisition of Commonwealth FX will allow us to establish an even stronger foothold in the country.
“Like moneycorp, Commonwealth FX has built its success on specialist services with competitive pricing, expert teams and fast, efficient systems. It’s a strong and stable business, and the acquisition will give customers on both sides of the Atlantic access to the experience and knowledge within both of our specialist teams.”