Stellar Development Foundation invested in MoneyGram International after a long and fruitful business relationship.
Strategic investment in money transfer company MoneyGram was announced by the Stellar Development Foundation on Tuesday.
This development follows a business collaboration between MoneyGram and SDF that was established two years ago to enable crypto payments and to provide a cash-to-crypto service.
According to SDF’s CEO and Executive Director Denelle Dixon, “SDF acquired a minority stakeholder in MGI during the recent go-private deal with Madison Dearborn Partners (MDP). This investment was not made from the Enterprise Fund, which is used to finance early-stage and fledgling businesses, but rather from the SDF’s own cash reserve. This is the first time that SDF has invested money in a project of this kind.
Dixon said that as a result of the investment, SDF has been given a seat on MoneyGram’s Board of Directors and would assist support the company’s efforts to grow its digital business by “exploring blockchain technology.”
The foundation declined to disclose to The Block the size of the contribution when we reached out. Dixon elaborated, saying that “SDF is one step closer to achieving our mission of creating equitable access to financial services” via the continued development of solid connections with organisations throughout the payments landscape.
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