The Zip Co Ltd (ASX: Z1P) share price was a positive performer in September.
The buy now pay later (BNPL) provider's shares rose 3.3% over the month.
This compares to a 2.6% decline by the S&P/ASX 200 Index (ASX: XJO) over the period.
Why did the Zip share price beat the market in September?
The Zip share price overcame weakness in the tech sector and rising short interest to record a decent gain in September.
This was driven by the release of a couple of positive announcements out of the growing BNPL provider.
The first was the release of its Retail Investor Day presentation. That presentation revealed the company has plans to launch several new products in the near term.
This includes savings accounts, rewards, and cryptocurrencies. The latter will see Zip allow users to buy, sell, hold, and even pay in cryptocurrencies.
What else was announced?
Also giving the Zip share price a boost was news that it has made a major strategic investment in India.
According to the release, Zip has agreed to make a strategic US$50 million investment in India-based BNPL operator ZestMoney.
ZestMoney was founded in 2015 and is now one of the largest and fastest growing BNPL platforms in India. It currently has 11 million registered users, over 10,000 online merchants on the platform, and a point of presence in over 75,000 physical stores.
The company notes that the India market is forecast to have US$300 billion+ in BNPL payment volume by FY 2026.
Much like its deal with Quadpay, which ultimately saw Zip acquire it in full, Zip has negotiated terms to increase its shareholding over time.
All in all, management believes this investment is consistent with its strategy to build a truly global BNPL business. And judging by the Zip share price performance, it appears as though the market agrees.
