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Western Union closes Custom House acquisition, taps into B2B payments space

Wednesday 2 September 2009 09:42 CET | News

The Western Union Company has completed the purchase of international B2B payments provider Custom House for USD 370 million in cash, according to Forbes.com.

As a result of the acquisition, Western Union will add account-to-account capabilities to its portfolio and enter the cross-border business-to-business market.

Custom House enables small and medium-sized businesses to operate on a global scale, simplifying international payment transactions and managing the risks associated with foreign exchange, according to a Western Union Company representative. According to the companys estimates, the SME cross-border payments market revenues can at least equal those generated by the consumer-to-consumer money transfer market.

With an annualised revenue run rate of USD 100 million, Custom House processes payments originating in seven countries for payout in 120 countries. Founded in 1992, Custom House enables customers to make payment transactions in person or online through its global banking relationships. Following the acquisition, Custom House will become part of the Western Union Global Payments division, will maintain both its headquarters in Canada and its existing management team.
 


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Keywords: Western Union, Custom House, B2B payments, account-to-account capabilities, Western Union Global Payments
Categories: Payments & Commerce
Companies:
Countries: World
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Payments & Commerce






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