Western Union Acquires Intermex for $500 Million to Boost Ripple and XRP
Western Union has announced its acquisition of International Money Express, Inc. (Intermex) for $500 million in cash, which may enhance the capabilities of XRP and Ripple. Intermex is already an On-Demand Liquidity (ODL) user of Ripple, and this deal is expected to strengthen blockchain payment flows across the US and Latin America.
Key Points of the Acquisition
- The acquisition will expand Western Union's retail and digital presence.
- Intermex has used Ripple's ODL services since 2020, facilitating cross-border payments.
- The deal is valued at $16 per IMXI share, representing a 50% premium over the average price.
- Expected cost savings of $30 million annually within two years post-acquisition.
- Projected boost of over $0.10 in adjusted earnings per share in the first year after closing.
- Integration aims to enhance transaction speed, reliability, and cost-efficiency.
The deal received unanimous approval from both companies' boards and is set to close by mid-2026, pending regulatory and shareholder approvals. This strategic move aligns with the trend of financial institutions leveraging blockchain technology in the global payments landscape.
