- Buy now, pay later (BNPL) business Zip Co (Z1P) has placed its securities in a trading halt as it considers undertaking a capital raise
- The potential fundraise comes after Zip posted strong quarterly results on Tuesday, including record group-wide quarterly revenue of $114.4 million
- The BNPL stock’s transaction numbers and customer figures also grew by 195 per cent and 88 per cent, respectively
- Zip is expected to detail the fundraising before trading commences on Friday, April 16
- The company’s shares were trading at $9.61 per share, down 1.23 per cent, at the close of market on Wednesday
Buy now, pay later (BNPL) business Zip Co (Z1P) has placed its securities in a trading halt as it considers undertaking a capital raise.
The news of the potential capital raise comes one day on from Zip posting strong quarterly results.
The company revealed on Tuesday that it’d hit a record group-wide quarterly revenue of $114.4 million, representing a year-on-year increase of 80 per cent.
The BNPL stock’s transaction numbers and customer figures also grew by 195 per cent and 88 per cent, respectively.
Additionally, Zip reported its bad debts reduced to 1.78 per cent by the end of the third quarter.
It also had around $781.3 million still undrawn and available in facilities to fund its consumer receivables.
At this stage, company shareholders will have to wait until the end of the week to find out more about this potential capital raise.
Zip stated in today’s trading market release that it would make an announcement before trading commences on Friday, April 16.
The BNPL stock’s shares were trading at $9.61 per share, down 1.23 per cent, at the close of market on Wednesday.