California Suspends Intermex Deal Approval, Delaying Western Union's Acquisition
WU sits 20% above its 52-week low of $6.27.
Summary
Western Union's acquisition of Intermex hit a new snag: California's DFPI suspended its approval extension on August 13, citing the need to further review the transaction and examine its impact on operations in California after six months since original approval. This follows NYDFS approval received the same day, but the California suspension means the deal cannot close until reinstatement. The delay adds to the uncertainty already weighing on Western Union, which missed Q2 estimates and slashed guidance in late July. Intermex shareholders face continued limbo. Watch for any DFPI reinstatement or further regulatory action.
At the time of this announcement, WU was trading at $7.51 on NYSE in the Finance sector, with a market capitalization of approximately $2.3B. The 52-week trading range was $6.27 to $10.35. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: BusinessWire.