MoneyGram, a global provider of money transfer services, and Ant Financial Services Group, parent company of the global mobile payment platform Alipay, have entered into a definitive agreement under which MoneyGram will merge with Ant Financial in a deal worth $880 million.

The transaction will connect of 2.4 billion bank and mobile accounts and 350,000 physical locations in the MoneyGram money transfer network with Ant Financial users.

According to a press release, the combination will provide consumers in more than 200 countries and territories with convenient and accessible financial services, furthering Ant Financial's mission to promote equal access to financial services globally.

"The acquisition of MoneyGram is a significant milestone in our mission to bring inclusive financial services to users around the world," Ant Financial CEO Eric Jing said in a statement. "We believe financial services should be simple, low-cost and accessible to the many, not the few. The combination of Ant Financial and MoneyGram will provide greater access, security and simplicity for people around the world to remit funds, especially in major economies such as the United States, China, India, Mexico and the Philippines."

The transaction is subject to the approval of MoneyGram stockholders, regulatory approvals and other customary closing conditions. The acquisition is expected to close in the second half of 2017. MoneyGram will retain its brand name and management team.

Alex Holmes will continue to serve as MoneyGram CEO and will work with Douglas Feagin, senior vice president at Ant Financial, and Souheil Badran, general manager for North America at Ant Financial, to drive the integration between the two organizations.

MoneyGram will remain headquartered in Dallas and is expected to maintain and grow its U.S.-based workforce, according to the announcement.