Alibaba buys MoneyGram for $880m

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Alibaba continues to increase it’s global network with the purchase of US financial firm MoneyGram. The digital payments division of Alibaba, Ant Financial, the digital payments arm of ecommerce firm Alibaba, is buying MoneyGram for $880m. Ant Financial has more than 630 million users.

Globally MoneyGram has 350k outlets in 200 countries. The deal is pending approval from the US Committee on Foreign Investment.

Ant Financial CEO of Eric Jing says the acquisition will “provide greater access, security and simplicity for people around the world to remit funds, especially in major economies such as the United States, China, India, Mexico and the Philippines”.

Obviously the purchase of MoneyGram will help Alibaba develop ecommerce, especially in critical emerging markets such as India and the Philippines. India, in particular is a key focus for Amazon. But the move could also be part of what looks like something of a charm offensive from Alibaba’s founder Jack Ma to President Trump.

Alibaba is floated on the New York stock exchange and Ma not only met with Trump in December last year after his election, but he’s pledged to create 1 million jobs in America.

One Response

  1. A leader meets another leader is great moment and if they become one it’s even more stronger. that what it’s shown. Fruitful Acquisition and becoming tough contender to Paypal Globally.

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