MoneyGram International has accepted an improved acquisition offer from Ant Financial Group following a rival offer from Euronet Worldwide Inc. The deal remains subject to regulatory approval--if this fails to materialize, we expect Euronet to return to the forefront. Demographic shifts have propelled steady growth of the remittance market. The global agent network supports a strong market position in the money transfer industry. Operating margins are weaker relative to peers'. Leverage is high, as measured by adjusted debt to EBITDA, but we expect that all debt will be repaid if the acquisition closes. The recently increased revolver covenant headroom provides operating flexibility. We expect the company continue investing in its compliance platforms and self-service channels and restructuring to reduce its
