Dive Brief:

• MoneyGram appointed Brian Johnson as CFO effective Sept. 1, according to a Thursday announcement. Johnson is moving up the ranks of the global digital peer-to-peer (P2P) company, where he has previously served as head of corporate finance and global treasurer. He has been with MoneyGram since 2018. 
• Johnson is succeeding Larry Angelilli, who will continue to serve as executive vice chairman and assist on external relations as well as other strategic matters. 
• The appointment comes in the wake of a pending sale of MoneyGram to the Chicago private equity firm Madison Dearborn Partners  — expected to close in the fourth quarter of 2022.

Dive Insight:

Johnson started at MoneyGram — which allows users to make payments to and from over 200 countries — in 2018 as head of corporate financial planning and analysis (FP&A) and merger and acquisition activity (M&A). Before MoneyGram, Johnson’s logged over 20 years of financial services experience at Commerce Street Capital, Hudson Advisors/Lone Star Funds and Bear Stearns, according to his LinkedIn profile.

Johnson, in an emailed response to a request for comment, said he plans to work across the organization to drive the company’s direct-to-consumer digital transformation through a customer-centric, KPI-driven approach. “From a financial perspective, we will be highly focused on driving efficiencies, maximizing cash flows and improving working capital,” he said. 

In February, the Dallas-based company announced it had entered into an agreement to be acquired by Madison Dearborn Partners. MoneyGram had been on and off the sales block for years and the deal is expected to close sometime in the fourth quarter of FY22. 

Johnson is beginning his role as CFO after MoneyGram announced its partnership with the Stellar Development Foundation, a non profit organization that supports the development and growth of Stellar. This partnership will aim to bridge the gap between physical and digital currencies by allowing users to convert their flat currency into digital assets, MoneyGram said. According to the company statement — besides Johnson’s appointment — MoneyGram also shifted current chief readiness officer Anna Greenwald to COO, effective immediately.  

The Consumer Financial Protection Bureau (CFPB) and New York Attorney General in April sued the company for allegedly repeatedly violating consumer protection laws. According to the lawsuit, the company failed to deliver funds promptly to recipients overseas on multiple occasions. Most MoneyGram users are immigrants or refugees sending funds to their country of origin, the lawsuit noted. 

In response to the allegations, the company in May asserted that MoneyGram “cares deeply about consumer protection and has cooperated fully with the CFPB during its investigation.” In an emailed response for comment, a company spokesperson said that they are “fully prepared to vigorously defend itself and expose the meritless nature of the lawsuit in court.”

Editor’s note: This story has been updated to include comments from Brian Johnson.