Afterpay to raise 1 billion in Fresh Capital | ASX Market Update

  • Jul 07, 2020 AEST
  • Team Kalkine

The Sezzle Inc (ASX: SZL) share price has been a strong performer on Tuesday. In morning trade, the buy now pay later provider’s shares are charging 20% higher to a record high of $4.88. Sezzle’s strong form continued in the second quarter with stellar underlying merchant sales (UMS) growth. Sezzle reported UMS of US$188 million (A$272.3 million) for the quarter. This represents a 58% quarter on quarter increase and a 349% year on year increase. Key drivers of this growth were increases in active customers, active merchants, and usage. At the end of the quarter there were 1.48 million active customers using its platform. This is up 28% from the last quarter and 243% from the prior corresponding period.

Latest monthly retail payment figures released by the Reserve Bank of Australia show a transaction bounce back across the economy. According to the RBA, 828 million purchases were made by Australian-issued cards during the month of May, a 16.5 per cent month-on-month increase. The total monetary value of the card purchases sits at $52.3 billion. In the previous month, total card spending fell by 22 per cent, a direct result of COVID-19 restrictions impacting spending abilities. Outstanding credit card balances fell by 10.3 per cent compared with the previous month, while year-on-year outstanding debt decreased by 26.1 per cent.

Buy now, pay later mogul Afterpay will raise $1 billion in fresh capital as part of a strategy to speed up its global expansion, with founders Anthony Eisen and Nick Molnar selling $250 million in shares as part of the process. The moves comes as Afterpay reported record sales across the fourth quarter of the financial year, with underlying sales jumping 127 per cent to $3.8 billion. Afterpay's full-year sales have now doubled on the prior financial year, up 112 per cent to $11.1 billion.

#Afterpay #SZL #COVID19 #Australia #Kalkine


The video has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. The above video is NOT a solicitation or recommendation to buy, sell or hold the stock of the company (or companies) under discussion. Kalkine does not in any way endorse or recommend individuals, products or services that may be discussed on this site.


There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.

Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.

As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK