The Israeli fintech industry continues to deliver results, even during challenging times: The global company Western Union, the international financial services giant, is fully acquiring (100% of the share capital) the Israeli fintech company GMT (G.M.T Tech Innovation Ltd.) in a transaction valued at approximately NIS 200 million.
GMT, which was founded in 2001 and has been operating for 25 years, is owned by the Sarouk and Tayer families.
The company employs approximately 100 workers at its offices in Ramat Hachayal in Tel Aviv, and operates a broad nationwide deployment of branches alongside digital platforms. It specializes in global money transfers and advanced payment solutions for Israelis, migrant workers, and their employers. The company operates under a license from the Israel Securities Authority and holds a banking identification code (69) awarded to it by the Bank of Israel.
Following the completion of the NIS 200 million transaction, GMT will become part of Western Union, but it is expected to preserve its well–known Israeli brand. The company's CEO, Eran Sarouk, will continue to lead and manage the operations even after the merger. Within the framework of the transaction, Western Union is expected to implement worldwide the unique technology developed by GMT in Israel.
"A tremendous badge of honor for the entire Israeli fintech industry"
The acquisition is expected to expand and upgrade the variety of financial services accessible to consumers and businesses in Israel, while combining the global reach of Western Union, which serves over 100 million customers in more than 200 countries and territories, with the local technological expertise of GMT.
"The fact that a global company of Western Union's scale chose GMT from among many international and local players is a tremendous badge of honor for the entire Israeli fintech industry," said Eran Sarouk, CEO of GMT. "The transaction will allow us to improve service availability and offer more accessible and advanced solutions to customers in Israel. Beyond that, this is an extraordinary opportunity to integrate the advanced technologies we developed here in Israel into Western Union's global network. This acquisition, completed during a challenging period, reflects the resilience of the Israeli financial market and the trust of global companies in reforms to promote competition."
Massimiliano Alvisini, Senior Vice President and Managing Director of Europe and the CIS at Western Union, welcomed the move: "We are pleased to officially welcome GMT's employees and customers into the global Western Union family. By combining GMT's local innovation and established relationships with its customers in Israel, together with Western Union's global network and digital platform, we are expanding how, where, and when we serve our customers."
The transaction was accompanied by attorneys Tal Eliasaf, Assif Rosenberg, and Golan Kaneti from the law firm of Naschitz Brandes Amir & Co., who represented GMT. Western Union was represented by attorneys Cliff Felig, Keren Sadeh (Mizrachi), Niva Berg Livnat, and Vadim Zimmerman from the Meitar law firm. The banking and investment advisors for the transaction were accountants Itzik Levy, Yinon Srebernik, and Eli Barda from EY.