Shaw and Partners has been appointed as Sole Lead Manager to a placement undertaken by Zip Co (ASX:Z1P).

The Company is proposing to raise up to approximately A$42.8m, via a placement of up to approximately 28.0m new ordinary fully paid shares at $1.53 per security.

The issue price represents a 7.8% discount to Zip Co’s closing price on 12 March 2019 of A$1.66 and a 7.8% discount to the 10 day VWAP.

Funds raised from the placement will be used to accelerate growth and strengthen the company’s balance sheet.  Zip Co’s growth initiatives include investment in marketing to support brand awareness, customer engagement and retail partner launches; investment in and deployment of new product initiatives; investment in the company’s proprietary technology platform; and monetization of Pocketbook.

The offer is available to Australian Sophisticated and Professional Investors only.

For more information, please contact your Shaw and Partners Adviser.

About ZipCo

ASX-listed Zip Co Limited (ASX: Z1P) or (“Zip”) is a leading player in the digital retail finance and  payments  industry.  The  Company  offers  point-of-sale  credit  and  digital  payment services  to  the  retail,  education,  health  and  travel  industries.  It  operates  under  the  Zip Pay, Zip Money and Pocketbook brands.The Company is focused on offering transparent, responsible and fairly priced consumer products. Zip’s platform is entirely digital and leverages  big  data  in  its  proprietary  fraud  and  credit  decisioning  technology  to  deliver real-time consumer responses. Zip is managed by a team with over 50 years’ experience in retail finance and payments and is a licensed and regulated credit provider.