Lightspeed Commerce Explores Potential Sale Amid Strategic Shift

Lightspeed Commerce, a Canadian payments software maker valued at C$2.8 billion, is reportedly considering a sale. This comes after a CEO change and investor concerns over profitability. Investment bankers at JPMorgan Chase are advising on potential options, though a deal is not guaranteed at this early stage.

Lightspeed Commerce, a Canadian payments software maker with a market value of C$2.8 billion ($2.08 billion), is working with a financial adviser to explore options, including a potential sale, according to sources familiar with the matter. This development follows a leadership change and investor concerns over the company's growth versus profitability strategy.

The company has engaged investment bankers at JPMorgan Chase to evaluate its options and attract potential buyers, which may include private equity firms. As the discussions are confidential and at an early stage, a deal is not certain. On Wednesday, Lightspeed's U.S.-listed shares surged by up to 17% following a Reuters report on the sale talks.

Both Lightspeed and JPMorgan declined to comment on the matter. CEO Dax Dasilva, who recently returned to lead the company, mentioned in a Bloomberg interview that the recent stock performance and competitor Nuvei's buyout by Advent International have kept the option of going private open. Despite challenges, including a significant share price drop since its IPO, Dasilva has shifted the company's focus back to profitability.

(With inputs from agencies.)