Remitly set to acquire Israeli fintech Rewire for $80m
Remitly Global has signed a definitive agreement to acquire Rewire, an Israel-based remittance platform for migrant workers.
According to the terms of the agreement, the acquisition will cost Remitly approximately $80 million in a mix of cash and stock.
The transaction is expected to close in the second half of 2022 subject to Israeli and Dutch regulatory approvals.
Founded in 2015 with offices in Tel Aviv and Amsterdam, Rewire says it is “geographically complementary” to Remitly.
Rewire offers migrant workers accounts in which they can store money that can be remitted at any time using its app. Additional features include debit cards, local payment accounts (IBAN), insurance products and the ability to make cross-border bill payments.
The Israeli fintech acquired prepaid card provider Imagen in June this year and raised $25 million in funding in February.
Guy Kashtan, CEO and co-founder of Rewire, says the “community-based approach” the firm has taken to build Rewire is “highly complementary to Remitly’s approach”.
Founded in 2011, Remitly offers a digital cross-border remittance app to customers in over 170 countries. It is headquartered in Seattle with seven offices across the globe.