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ASX 200 flat: Zip rockets, Cleanaway higher, Regis-IGO announce Tropicana deal

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At lunch on Tuesday the S&P/ASX 200 Index (ASX: XJO) has given back the majority of its morning gains and is trading largely flat at 6,977.2 points.

Here’s what has been happening on the market today:

Zip Q3 update impresses

The Zip Co Ltd (ASX: Z1P) share price is rocketing higher today following the release of its third quarter update. During the three months ended 31 March, the buy now pay later provider continued its very strong growth. Thanks to a 195% increase in transaction numbers to 12.4 million and a 114% jump in quarterly transaction volume to $1.6 billion, Zip’s revenue grew 80% to a quarterly record of $114.4 million. The US-based QuadPay business was the star performer once again during the quarter.

Regis buys IGO’s Tropicana stake

The Regis Resources Limited (ASX: RRL) share price is in a trading halt today. It requested the halt whilst it undertakes a $650 million equity raising to fund the purchase of a 30% stake in the Tropicana Gold Project from IGO Ltd (ASX: IGO) for $903 million. The balance will be covered by a new loan facility. Regis notes that the acquisition diversifies its existing production base with a non-operated interest in a high quality, low cost, high margin gold asset. Whereas IGO advised that the divestment will allow it to concentrate on its strategic focus on clean energy.

Cleanaway share price rises

The Cleanaway Waste Management Ltd (ASX: CWY) share price is pushing higher today despite news that its acquisition of Suez Australia’s business for $2.5 billion has been terminated. It appears as though the market was far more positive on its backup acquisition of Suez’s Sydney assets for $500 million. This deal will still go ahead regardless of Suez’s merger with fellow waste management giant Veolia.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Tuesday has been the Zip share price with a 10% gain following its third quarter update. Going the other way, the worst performer has been the Perenti Global Ltd (ASX: PRN) share price with a decline of 2%. This is despite there being no news out of the mining services company today.

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James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of ZIPCOLTD FPO. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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