More info from AFR

Zip Co goes shopping for US investors, mulls second listing

Sarah Thompson, Anthony Macdonald and Tim Boyd

Feb 7, 2021 – 9.32pm

Payments group Zip Co is going to the home of rival Afterpay’s biggest supporters to try to bridge a $35 billion valuation gap between the two companies.

It is understood Zip management will spend the next few days in front of US investors, seeking to explain the company’s buy now pay later payments platform and highlight its growth in the world’s biggest economy, where it owns QuadPay.

Zip founders Peter Gray and Larry Diamond have US investment bank Wells Fargo helping make introductions to US investors. James Brickwood

Sources said the purpose of the trip was twofold.

Firstly, Zip wants to tell its story and go shopping for new investors in what’s about to become its biggest market. It wants to tap into the same big-thinking funds that backed Afterpay’s BNPL business model and turned it into a $43.1 billion gorilla.

And, perhaps more interestingly, Zip wants to assess appetite for a potential US listing.