Australia's Zip soars on fundraising at narrower discount

Zip Co

18/07/2024 04:56

** Shares of financial services firm Zip  ZIP.AX  rise as
much as 11.8% to A$1.795, biggest one-day pct gain since March 7
    ** Co said on Wednesday it will raise A$217 mln ($146.2 mln)
through equity placement, with a share purchase plan to raise up
to a further A$50 mln to repay corporate debt
    ** Co completed the A$217 mln raise on Thursday at
A$1.56/share, higher than the floor price of A$1.52 announced
earlier
    ** New price is at a 2.8% discount to ZIP's last close
    ** Posts quarterly transaction volume of A$2.6 bln, up 19%
from previous quarter while Q4 revenue rose 22.1% to A$223.6 mln
    ** UBS views equity raising and Q4 trading update positively
    ** Raises PT to A$1.90 from A$1.55; raises FY25-26 cash
EBTDA estimates by average 19%
    ** About 24.7 mln shares change hands, compared with the
30-day average of 14.3 mln
    ** Stock has risen 152.8% this year, as of last close

($1 = 1.4850 Australian dollars)

 (Reporting by Sneha Kumar in Bengaluru)
 ((Sneha.Kumar@thomsonreuters.com;))