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Investing.com-- Western Union Co (NYSE:WU) said on Sunday evening that it had entered a definitive agreement to buy smaller remittance firm International Money Express Inc (NASDAQ:IMXI) in a deal aimed at expanding its local and international offerings.
Western Union will pay $16.0 per International Money share, valuing the deal at roughly $500 million. The deal is at a 72.4% premium to International Money’s Friday close.
“This acquisition… strengthens our North America operations and expands our presence with key consumer segments across the U.S.” Devin McGranahan, president and CEO of Western Union said in a press release.
Western Union said the acquisition will add to its remittance business, especially in Latin America. International Money has roughly 6 million customers.
Western Union sees the deal being immediately accretive to adjusted earnings per share by over $0.10 in the first full year after closing, and sees $30 million in annual run-rate cost synergies within 24 months.
The deal is expected to close by mid-2026. International Money’s board unanimously recommended the deal to shareholders.