As part of the deal, Zip will also issue warrants to an affiliate of Amazon to acquire up to 14.6 million of its shares. Zip’s payment system went live on Amazon Australia’s site this Thursday.
Zip’s CEO and Managing Director, Larry Diamond said: “We are thrilled to have secured this strategic agreement with Amazon Australia, providing customers with a more flexible way to pay. This agreement puts Zip firmly on the main stage by allowing customers shopping on amazon.com.au to use Zip to pay at their pace.”
ABL Corporate and M&A Partner Jeremy Leibler and Senior Associate Gavin Hammerschlag led the deal with Lawyer Vidushee Deora. Jeremy Leibler commented: “We are pleased to have advised Zip on another transaction and congratulate them on being the first Australian buy now, pay later operator to be granted access to Amazon.”
Gavin Hammerschlag further commented: “Having acted for Zip for many years, it is a pleasure to have assisted on this latest stage of its continued expansion as a market leader in the fintech sector.”
Zip is a leading player in the digital retail finance industry. They offer point-of-sale credit and digital payment services to consumers and provide a variety of retail finance solutions to small, medium and enterprise merchants across numerous industries, both online and in-store, including interest free and buy now, pay later.
ABL has a long-standing relationship with Zip, having advised on numerous landmark transactions for the company, including its recent acquisition of global instalment technology platform PartPay Limited and its $47m capital raising.