Remitly recruits Rewire for remittance mission

Remitly-acquires-Rewire-remittance-payments

Remitly Global, a global digital financial services provider for immigrants and their families, is to acquire Rewire, an Israeli financial service platform for migrant workers.

Under the terms of the agreement, Remitly will acquire Rewire for approximately $80m consisting of a mix of cash and stock.

Remitly aims to help immigrants sent money home in a safe, reliable and transparent manner. Its digitally-native, cross-border remittance app eliminates long wait times, according to the company, and avoid fees and other complexities typical of traditional remittance platforms.

Founded in 2015, Rewire provides a remittance platform which it claims build deep customer relationships and it geographically complementary to Remitly.

The acquisition will see Rewire’s customers be able to create an account with which money can be stored to be remitted at any time.

The transaction is expected to closed in the second half of 2022, subject to the satisfaction of customary closing conditions, including regulatory approval of the applicable Israeli and Dutch authorities.

Matt Oppenheimer, co-founder and CEO, said, “From the start, Remitly has focused on delivering trusted digital financial services to serve immigrant communities around the world.

“We share with Rewire a deep commitment to our customers and that mission. Peace of mind starts with a trusted means for sending money home for critical costs. Rewire accelerates our progress as together we will continue to bring to market trusted financial services that are inclusive and accessible to all.”

Remitly previously raised $85m in its Series F funding round in July 2020. The funding was used to expand its money transfer network into new markets, develop its suite of digital financial services products and reach new customers around the world.

Earlier this year, Remitly collected an equity investment from Visa, which will help extend their partnership. The deal extension will see Visa integrate its real-time push payments platform, Vias Direct, which will enable Remitly customers in the US to send funds to eligible Visa debit cards in countries around the world.

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