International payment giant MoneyGram has revealed that Ripple has completed its earlier announced investment commitment of $50 million, with a recent $20 million payment. Months ago, Ripple had paid $30 million.
The announcement also included other details of the deal, such as the rate per share of $4.10 which the deal was based on. Now, MoneeyGram officially owns 9.95% of MoneyGram’s common stock. Signed in June, the two companies decided to begin a partnership to help MoneyGram’s cross-border payment business using Ripple’s On-Demand Liquidity (ODL).
According to MoneyGram chairman and CEO Alex Holmes, the partnership between both companies will transform the worldwide payment industry, increasing efficiency and effectiveness.
“Partnerships with companies like Ripple support innovation and allow us to invest in creating better customer experiences. I anticipate furthering our growth into new corridors and exploring new products and services.”
Already, MoneyGram uses ODL to handle at least 10 percent of all its transactions in Mexico, using the Mexican Peso, through XRP. The company hopes to spread the offering to other parts of the world including Europe, the Philippines and Australia.
Ripple has recently announced that its RippleNet now has more than 300 institutions with quite a number already on the ODL platform. The company is consistently making moves to spread its offerings as widely as possible.
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