Rewire’s financial services platform is said to help strengthen customer relationships, provide additional flexibility and convenience, and is complementary to Remitly’s offering
Remitly to acquire Rewire. (Credit: NordWood Themes on Unsplash)
US-based digital financial services provider Remitly Global has agreed to acquire Israeli fintech company Rewire for a total consideration of around $80m, subject to adjustments.
Established in 2015, Rewire is a financial services platform that serves migrant workers through its office locations in Amsterdam and Tel Aviv.
The company offers a remittance platform that enables its customers to create an account, using which they can store money to be remitted at any time.
The platform is said to help strengthen customer relationships, provides additional flexibility and convenience, and is complementary to Remitly.
Rewire CEO and co-founder Guy Kashtan said: “We are thrilled to join the team at Remitly and continue our important mission of making financial systems more inclusive for migrants as we see the community-based approach we have taken to build Rewire as highly complementary to Remitly’s approach.
“We see a huge opportunity as we combine forces to accelerate the adoption of some of the innovative products we have developed to enhance the lives of customers sending money around the world and managing their finances.”
Remitly, established in 2011, enables immigrants and their families in more than 170 countries to send money in a safe and transparent way.
Its digitally-native, cross-border remittance application is said to eliminate the long wait times, complexities and fees associated with traditional remittance processes.
Through the acquisition, Remitly is enabled to benefit from the additional capacity and expertise of Rewire’s product development and engineering teams.
The cash and stock transaction is expected to be completed in the second half of this year.
The closing of the acquisition is subject to certain customary closing conditions, including regulatory approval of the Israeli and Dutch authorities.
Remitly co-founder and CEO Matt Oppenheimer said: “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.”