(Adds M&A context, industry context)
SYDNEY, Nov 19 (Reuters) - U.S. money wiring giant Western Union Co WU.N made an A$888 million ($632 million) takeover proposal for rival OzForex Group Ltd OFX.AX , the Australian target said, hoping to boost its access to one of the world's biggest cash transfer markets.
The informal offer continues a wave of in-bound M&A activity in Australia this year after a 5 percent decline on the share market and a 13 percent drop in the Australian dollar against the greenback made companies cheap for offshore buyers.
For Colorado-based Western Union, the deal would expand its presence in a market that sends more money to developing countries than any European country, according to the International Fund for Agricultural Development, a U.N. agency.
For OzForex, the indicative cash offer of up to A$3.70 per share represents a near doubling of its value since listing at A$2.00 per share just two years ago. The stock jumped 32 percent to A$3.44 on Thursday, its highest intraday level.
In a statement, OzForex said it would evaluate the offer before discussing it with shareholders. It noted that Western Union's proposal came with conditions including access to due diligence, retention of management and regulatory approval.
A Western Union spokesperson was not immediately available for comment.
($1 = 1.4057 Australian dollars)