Business
Euronet Worldwide trumps Ant Financial’s offer to buy MoneyGram
U.S. electronics payments company Euronet Worldwide Inc on Tuesday offered to buy money-transfer company MoneyGram International Inc for more than $1 billion, trumping a bid by Ant Financial Services Group, the financial services affiliate of China’s Alibaba Group Holding Ltd. Ant Financial, which is controlled by billionaire Jack Ma, has so far declined to comment on the surprise move, which disrupts its plans for U.S. expansion. MoneyGram’s shares jumped 25 percent in morning trading to $15.85, above Euronet’s offer of $15.20, indicating investors were expecting a higher bid to materialize.
If this is really strategic to them (Ant Financial), I would be surprised if they didn’t come back with an offer.
Stefan Thomas, chief technology officer of payments network provider Ripple
A Euronet deal is likely to be more agreeable to U.S. policymakers against a backdrop of rising tensions between China and the United States over trade and foreign policy. “The combination of Euronet and MoneyGram offered stockholders a clear path to closing,” Euronet Chief Executive Michael Brown said in a letter to MoneyGram’s board.
We view (this) as a significant benefit in comparison to your current agreement with Ant Financial that contains conditions that make closing highly uncertain.
Euronet Chief Executive Michael Brown
