16 June 2021 • 4 minute read
DLA Piper advises Zip on its AUD400 million convertible notes offering
Global law firm DLA Piper has advised Zip Co Limited (ASX: Z1P) on its AUD400 million convertible notes offering.
The unsecured senior convertible seven year notes, the proceeds of which are to be used to fund growth, were listed on the Official List of the Singapore Exchange Securities Trading Limited. Jarden and Bank of America acted as joint lead managers to the offering. An AUD$120 million delta placement was also undertaken to facilitate some of the hedging associated with the notes.
Zip is a leading player in the digital retail finance and payments industry, with operations across Australia, New Zealand, South Africa, the United Kingdom and the United States. DLA Piper has supported Zip on its entry into new markets globally, including its investment in Twisto Payments (a leading payments platform based in the Czech Republic and Poland) earlier this year and its investment in UAE-based payments platform Spotii in 2020.
DLA Piper’s multi-jurisdictional and cross-practice team on the notes offering was led by Australian Corporate partners Kelly Morrison and David Ryan with Singapore based Corporate partner Philip Lee, with support from Finance partners Onno Bakker and David Lyons, Tax partner Eddie Ahn, special counsels Jennifer Whincup and Elliott Cheung, senior associate Kenny Mui, associates Andhari Sidharta Mei Sum Chan and paralegal Katherine Keene.
David Ryan said: “We are delighted to continue supporting Zip on achieving its vision of becoming a truly global BNPL player. This transaction is a great example of the partnership with growing businesses the DLA Piper global platform is designed for.”
DLA Piper is one of the most active advisers to convertible note offerings, as they become a more common funding source in Australia. The deal comes on the back of DLA Piper advising ASX-listed Washington H. Soul Pattinson and Company on its AUD225 million convertible notes offering in February 2021 and Webjet’s EUR100 million convertible notes offering in 2020.
The unsecured senior convertible seven year notes, the proceeds of which are to be used to fund growth, were listed on the Official List of the Singapore Exchange Securities Trading Limited. Jarden and Bank of America acted as joint lead managers to the offering. An AUD$120 million delta placement was also undertaken to facilitate some of the hedging associated with the notes.
Zip is a leading player in the digital retail finance and payments industry, with operations across Australia, New Zealand, South Africa, the United Kingdom and the United States. DLA Piper has supported Zip on its entry into new markets globally, including its investment in Twisto Payments (a leading payments platform based in the Czech Republic and Poland) earlier this year and its investment in UAE-based payments platform Spotii in 2020.
DLA Piper’s multi-jurisdictional and cross-practice team on the notes offering was led by Australian Corporate partners Kelly Morrison and David Ryan with Singapore based Corporate partner Philip Lee, with support from Finance partners Onno Bakker and David Lyons, Tax partner Eddie Ahn, special counsels Jennifer Whincup and Elliott Cheung, senior associate Kenny Mui, associates Andhari Sidharta Mei Sum Chan and paralegal Katherine Keene.
David Ryan said: “We are delighted to continue supporting Zip on achieving its vision of becoming a truly global BNPL player. This transaction is a great example of the partnership with growing businesses the DLA Piper global platform is designed for.”
DLA Piper is one of the most active advisers to convertible note offerings, as they become a more common funding source in Australia. The deal comes on the back of DLA Piper advising ASX-listed Washington H. Soul Pattinson and Company on its AUD225 million convertible notes offering in February 2021 and Webjet’s EUR100 million convertible notes offering in 2020.
