Share purchase plan opens today Zip completed a fully...

Share purchase plan opens today Zip completed a fully underwritten placement on 18 July, raising $217 million before costs. The company also offered eligible shareholders the opportunity to participate in a share purchase plan (SPP) to raise up to $50 million. The SPP offer begins today and will close at 5 pm AEST on 14 August. The company will dispatch the allocated shares on or around 23 August.Under the SPP, shareholders with a registered address in Australia and New Zealand as of 16 July can apply for up to $30,000 of new shares. The purchase price will be $1.56 or lower. The final price will be determined on 14 August, at the closing date of the SPP.As my colleague Bernd reported, Zip plans to use the funds to repay debt and pursue growth opportunities, mainly in the US.Why is the Zip share price weak today?First of all, the overnight sell-off in the US market, led by the Nasdaq Composite Index (NASDAQ: .IXIC), is pushing the ASX lower, with the S&P/ASX All Technology Index (ASX: XTX) down by 2% and the S&P/ASX 200 Financials Index (ASX: XFJ) down 1.17%.Zip shares are not immune to the broader market weakness this morning. Another factor contributing to the weakness in the share price might be the SPP share price. Typically, the share price for the SPP is set to match that of the institutional placement, and this was true for Zip as well. The company set the SPP price at $1.56 (or lower), mirroring the price during last week's capital raising.However, the Zip share price surged from $1.61 on 16 July, before the capital raising announcement, to $1.75 now. This gap between the market price and the SPP share prices might concern investors. Some of the newly issued shares could be sold in the market, as investors see it as an arbitrage opportunity.Investors cheered up Zip's plans to invest in the US, hoping for new growth opportunities. The development of its US business remains the key factor in its share price going forward.