MoneyGram, a money remittance service provider, has signed an agreement with EbixCash, to bring enhanced services for consumers across India, a joint press release from both the companies said.
EbixCash, which provides services such as domestic and international money remittance, foreign exchange and, pre-paid and gift cards, has around 80 percent share of locations in the country.
With this partnership, MoneyGram will be able to reach additional consumers through Ebix's 320,000 distribution outlets spread across 768 districts, 4,000 cities, and more than 75,000 villages giving them a large coverage in rural areas, the release said.
Moneygram aims to bring inward remittance volumes of $3 billion annually to India through this partnership.
"MoneyGram is focusing on diversification by investing in both its digital business and in key international markets such as India. We are excited to enable EbixCash to plug into the MoneyGram platform to access our customer-centric capabilities and services," said Alex Holmes, MoneyGram Chairman and Chief Executive Officer.
EbixCash is a wholly-owned subsidiary of Ebix Inc, an international supplier of on-demand software and e-commerce services to the insurance, financial, healthcare and e-learning industries.
EbixCash expects net revenues for EbixCash to be between $20 million to $35 million annually from this partnership once fully rolled out.
"Being a master agent for MoneyGram, our interests will now be perfectly aligned to ensure that MoneyGram’s reach is spread across the length and breadth of India through our strong franchisee network. We see this as a game changing deal," said Robin Raina, Ebix Inc. Chairman, President and Chief Executive Officer.
In the last one year, Ebixcash has acquired Essel Forex and Weizmann Forex for cementing its position in the financial services distribution.