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MoneyGram International Inc. said Friday that it has agreed to sell for an undisclosed price its corporate payment-processing unit to Plymouth, Minn.-based payment technology provider Solutran Inc., reports American Banker, a CardLine sister publication. The deal is expected to close next quarter. MoneyGram said the processing unit, FSMC, generates less than 1% of its total revenue and selling it would help the parent company focus on money transfers and bill payments. "It's a move that enables MoneyGram to shift our organization closer to our core business," Anthony Ryan, MoneyGram CEO, said in a press release. Most of FSMC's 37 employees are expected to join Solutran. FSMC's founder, Elloyd Hauser, also started Solutran. MoneyGram is moving in the opposite direction of Western Union Co., which announced plans this month to expand its business payment operations by buying the Canadian foreign exchange transaction processor Custom House Ltd. (CardLine, 5/7).
