MoneyGram and Ant Financial Call Off Merger, Citing Regulatory Concerns
And the regulatory concerns, part of the review process by the Committee on Foreign Investment in the United
States, or Cfius, could spell trouble for other Chinese companies considering major acquisitions.
“The geopolitical environment has changed considerably since we first announced the proposed transaction
with Ant Financial nearly a year ago,” said the chief executive of MoneyGram, Alex Holmes.
The two companies, MoneyGram and Ant Financial, said that it was clear that Cfius would not approve the deal, despite their efforts to quell concerns.
MoneyGram and Ant Financial of China called off their planned merger on Tuesday after failing to get regulatory approval in the United States.
The deal between MoneyGram and Ant Financial was seen as a test of the Trump administration’s political and regulatory approach with China.