Western Union (WU, Financial) tackled top- and bottom-line growth with 1) an extensive multi-year $100 million cost reduction initiative, reducing manual processes in favor of technology; and 2) the introduction of a cross-border platform marketed to third parties. For example, Western Union signed an agreement with TD Bank of Canada whereby TD account holders can move money cross-border through the TD mobile app, effectively doing away with a more costly and lengthy wire transfer. Other pilot projects are in the works.
From Bernard Horn (Trades, Portfolio)'s third-quarter 2019 Polaris Global Value Fund shareholder letter.
