Zip gets consents from 93.36% of holders to amend 0% convertibles

By Devika Patel

Knoxville, Tenn., June 21 – Zip Co. Ltd. reported that holders of A$308.1 million, or 93.36%, of its A$330 million outstanding zero-coupon senior convertible notes due 2028 (ISIN: XS2330529905) gave their consents to proposed amendments to the terms and conditions of the notes by electronic voting on June 19.

The amendments only needed approval from 75% of holders to pass.

The amendments are expected to be effective July 31.

As previously reported, the consent solicitation ran concurrently with a liability management exercise in which the company invited eligible existing noteholders to convert their existing notes into Zip ordinary shares at a conversion price of A$12.0576 per share and receive a cash amount that in total will be up to A$17.4 million.

Zip said it would determine allocations in its sole discretion.

Eligible noteholders have five business days to submit to the conversion agent the conversion instructions in relation to their confirmed conversion allocation. Conversion instructions should be submitted through the clearing systems by no later than 11 a.m. ET on June 27.

Goldman Sachs Australia Pty Ltd. is the dealer manager.

Zip is a Sydney, Australia-based financial technology company.

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