Digital P2P paytech MoneyGram is set to be acquired by private equity firm Madison Dearborn Partners (MDP) in an all-cash purchase of outstanding MoneyGram shares worth approximately $1.8 billion.
Under the terms of the deal, MoneyGram shareholders will receive $11 in cash for each share of MoneyGram stock they own.
In addition, upon the closing of the transaction, MDP will refinance the paytech’s outstanding debt, which stood at $799 million as of 31 December 2021.
The transaction is expected to close in Q4 2022, subject to approval by MoneyGram shareholders and regulators.
By becoming a private company, MoneyGram says it will have greater opportunities to innovate and lead the industry in cross-border payment technology.
MoneyGram chair and CEO Alex Holmes says the deal will “enable us to accelerate the advancement of our digital growth strategy”.
MoneyGram will continue to operate under its own branding and will be led by Holmes and the company’s existing leadership team. MoneyGram will also maintain its headquarters in Dallas, Texas.
Credit: Source link
Comments are closed.