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ASX Release
7 November 2019
Zip strikes strategic agreement with Amazon Australia
Zip Co Limited (‘Zip&rsquo is pleased to announce today that it has entered into a strategic
agreement with Amazon Commercial Services Pty Limited (“Amazon&rdquo.
The agreement:
 Sees Zip available as a payment option for customers shopping on Amazon.com.au
 Sees Zip as Amazon’s first Australian instalment payment option
Zip CEO and Managing Director, Larry Diamond said:
“We are thrilled to have secured this strategic agreement with Amazon Australia,
providing customers with a more flexible way to pay. This agreement puts Zip
firmly on the main stage by allowing customers shopping on Amazon.com.au to
use Zip to pay at their pace. The agreement delivers a fantastic experience for
customers who are looking to own the way they pay.”
The relationship with Amazon Australia continues to deliver on Zip’s strategic vision of
providing customers with convenience and choice in how they choose to pay for
everyday products, whilst also expanding the network of acceptance for Zip’s 1.5 million
digital customers.
In connection with the strategic agreement, Zip will issue to an affiliate of Amazon
warrants to acquire up to 14,615,000 ordinary shares (“Warrants&rdquo. The exercise price for
each Warrant is equal to the volume weighted average closing price of Zip’s shares on the
ASX for the 20 trading days prior to October 31, 2019 ($4.70).
A portion of the Warrants (25%, or 3,653,750 ordinary shares) will vest concurrently with
Zip’s entry into the strategic agreement, and the remainder of the Warrants will be subject
to vesting milestones based on processed volumes. The Warrants may be exercised any
time until 7 years after the issue date (subject to the applicable vesting criteria being
met), except that the unvested Warrants are subject to early expiration in certain
circumstances, including in the event that the applicable vesting milestones are not met
by specified dates.
It is anticipated that Zip will be live on Amazon.com.au on 7 November 2019.
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