Zip Co exits New Zealand market in strategy pivot

• Zip Co (ASX:ZIP) is winding down its New Zealand business operations.
• The company expects the financial impact of the exit to be immaterial.
• The move aims to refocus resources on core growth markets in Australia and the US.

Zip Co (ASX:ZIP) has decided to commence an orderly wind-down of its New Zealand operations following a strategic review of its business portfolio.

The decision comes as the company sharpens its operational focus on its core Australian and United States markets.

The company did not include an executive quote in its market update.

Zip stated that the financial impact of the winding down of the New Zealand business is expected to be immaterial to the group.

Following the announcement, the Zip share price was down at $3.04.

The pivot builds on the buy-now-pay-later provider's broader effort to consolidate international operations and reduce overhead costs.

Zip continues to prioritise scaling its core markets where it maintains stronger growth and higher transaction volumes.