The Western Union Company, one of the leading global cross-border currency movement and payments firms, declared on 12th October (Tuesday) that it has finished the acquisition of a minority stake in Saudi’s stc Bank and is in the progression of releasing itself as one of the primary digital banks in the Kingdom of Saudi Arabia. As per the terms of the deal, Western Union has attained 15% proprietorship of stc Bank for USD 200 million.
Western Union’s investment in stc Bank
Hikmet Ersek, the Chief Executive Officer of Western Union, stated that the firm was ecstatic about its investment in Saudi’s stc Bank as the latter aids in the extension of the former’s global consumer ecosystem and boosts the bank’s growth curve by enhancing its relationship with stc Bank’s innovations in the digital payments sector. Ersek stated that Western Union was looking to boost its constant growth and progression in the next few years as it fabricated a vast environment of digital payment services to an array of consumers.
Saudi’s stc Bank is well situated for extension into novel digital banking services and unwavering growth in the coming few years. The Saudi Council of Ministers has recently fabricated their decision to authenticate stc Bank’s license as a digital bank.
According to the investment deal that was first announced in November 2020, both firms have expanded the rapport of their prevalent commercial affiliation. This collaboration will notice Western Union delivering money transfer services, through an app, that allows stc Bank’s consumers to send money to more than 200 countries in over 130 currencies via the former’s widespread global financial link of bank accounts, cards, and wallets.
Western Union’s investment in stc Bank etches a milestone in the implementation of the firm’s digital growth strategy, which is inclusive of delivering a cross-border platform and global financial network to aid its customers and partners across the globe.