Western Union’s $500 million buy of Intermex, the top U.S. retail remittance rival, may not close on schedule.
NYC Mayor Zohran Mamdani sent a letter Wednesday to the New York State Department of Financial Services, asking regulators to block the deal. “Western Union wants to buy its top competitor, Intermex, so it can jack up remittance fees and squeeze families even more,” he wrote on BlueSky Thursday. His letter, obtained by the New York Times, argued the acquisition would “further strain the already challenging economic circumstances facing New York City’s immigrant communities.”
Western Union countered, telling NYDFS the deal would keep “accessible and affordable” services available against digital-only rivals. That’s also a self-interested defense: retail remittances account for roughly 60% of Western Union’s revenue.
What does the buyer actually get? Intermex is Western Union’s leading retail competitor in U.S.-to-Latin America remittance corridors, the same routes where Western Union has taken the hardest hits. CEO Devin McGranahan told investors last month the company’s seen “meaningful declines” in markets like Mexico, Ecuador, and Guatemala, driven by migration dynamics and U.S. immigration policy. Revenues came in flat.
Western Union closed three other deals in the past year, including Eurochange in April 2025, with M&A positioned as a core growth driver. The Intermex deal was announced last August and closes in Q2 2026, pending regulatory approval. NYDFS now holds the key vote.
Diana Kowalski