June 16 Wal-Mart Stores Inc (WMT.N) has taken a
minor stake in the prepaid debit card seller Green Dot Corp in a
move that would give the U.S. retail giant indirect access to
the U.S. financial space.
In a filing with the U.S. Securities and Exchange Commission
this month, Green Dot said it had issued 2,208,552 shares of
Class A common stock to Wal-Mart.
The stake would represent less than 1 percent of the
combined voting power of outstanding Class A and Class B common
stock after offering, Green Dot said.
In February, Green Dot had filed for an initial public
offering of up to $150 million. [ID:nN26201233]
An attempt by Wal-Mart to open a U.S. bank was abandoned in
2007 after intense lobbying from the sector.
The Wal-Mart stake report was first published by the
Financial Times on Wednesday.
Monrovia, California-based Green Dot sells prepaid debit
cards and reloading services to U.S. consumers at roughly 50,000
retail stores including Wal-Mart, Walgreen Co WAG.N and
Wal-Mart began a push into Canada's financial space on
Tuesday, launching a domestic bank and a rewards credit card, in
what could be just the first foray by the U.S. retailer into an
already-crowded Canadian banking sector. [ID:nN15271919]
(Reporting by Sakthi Prasad in Bangalore; Editing by Michael