- Zip Co’s (Z1P) expansion efforts are continuing on, with two new deals set to bolster the buy-now-pay-later player’s presence in the Middle East and E.U.
- Zip has agreed to buy Twisto Payments, a BNPL provider headquartered in Czechia, for around $140 million
- Meanwhile, the company has also agreed to purchase the all the remaining shares in UAE-based Spotii for around $21 million
- Zip expects to complete the Spotii and Twisto acquisitions in the third and fourth quarter of this year, respectively
- The two latest additions will be integrated into Zip’s global single merchant interface, which now has access to 11 countries across five continents
- While the news triggered a buy-up of Z1P shares in early trade, much of that excitement seems to have pared back, with shares now trading just 0.21 per cent higher at $7.06 apiece
Zip Co’s (Z1P) expansion efforts are continuing on, with two new deals set to bolster the buy-now-pay-later player’s presence in the Middle East and E.U.
Eyeing the European market, Zip has agreed to buy Twisto Payments, a BNPL provider headquartered in Czechia. The deal effectively backdoors Zip into Twisto’s European Payment Institution licence, granting it exposure to 27 E.U. countries. The Twisto buyout will set Z1P back around $140 million.
Commenting on the acquisition, Zip co-founder and CEO Larry Diamond drew attention to the cultural synergies between the two companies.
“The acquisition of Twisto shows our commitment to global growth and follows our ‘Coalition of Founders’ model, where we back strong founders with a shared vision and deep cultural alignment in our quest for global payments coverage. We are very much looking forward to adding this strategic geography to our growing footprint and fulfilling global merchant demand.”
Meanwhile, the company has also agreed to purchase the all the remaining shares in UAE-based Spotii for around $21 million.
Speaking on the Spotii buyout, Diamond has this to say.
“The Spotii acquisition is an important step in Zip’s global expansion and international strategy, with Ecommerce in the Middle East on a significant upward trajectory. We also believe there is a large untapped opportunity to bring BNPL to emerging markets where cash on delivery remains a significant merchant challenge, and where the digitisation of retail accelerates.”
The deals build on Zip Co’s aggressive growth strategy, which notably included the buyout of U.S.-based Quadpay last year — tripling the company’s annual transactions in a single stroke.
Zip expects to complete the Spotii and Twisto acquisitions in the third and fourth quarter this year, respectively.
The two latest additions will be integrated into Zip’s global single merchant interface, which now has access to 11 countries across five continents.
While the news triggered a buy-up of Z1P shares in early trade, much of that excitement seems to have pared back, with shares now trading just 0.21 per cent up at $7.06 apiece at 10:45 am AEST.