zipMoney secures $40m Westpac investment
Written by Chris Lemmon
Australian FinTech firm zipMoney has announced that it has secured a $40 million strategic investment from Westpac Banking Corporation.
The two firms have also agreed a strategic relationship which allows the parties to explore the integration of Zip’s products and services across Westpac’s network throughout Australia. The parties will also explore other initiatives including the provision of currently in-development business-to-business products and services to Westpac.
The investment will be used to accelerate Zip’s growth plans and the development of new products and technologies, including enhancing its data science and proprietary decisioning capabilities.
The deal is expected to be completed on 10 August 2017, which will see Westpac become a new substantial shareholder in the firm with approximately 17.11 per cent ownership of zipMoney, based on post subscription shares.
Larry Diamond, CEO of Zip, commented: “This strategic deal with Westpac is a truly transformational moment for Zip and our unique customer value proposition. It is a serious validation of the success of the Zip platform and offering, and the strategic relationship arrangements will deliver a significant opportunity to further accelerate the growth of our merchant network and origination volumes.
“We look forward to welcoming Westpac onto the register and to their ongoing support in the growth of the company.”