Industry Analyst & Strategist
This is big news. Ecwid has gone from a simple payment gateway to a mini-Shopify to, I assume, a direct competitor to Shopify with the weight and financing of Lightspeed. Lightspeed will gain a foothold in a new and growing market segment.
Of course we need to get some details from the press release, Lightspeed to acquire Ecwid and NuORDER to unify commerce ecosystem and ignite business creation: “Ecwid currently serves over 130,000 paying customers in over 100 countries around the world. In the period ended March 31, 2021, Ecwid generated revenue2 of over $20 million, growing at a rate of more than 50% year-over-year. Lightspeed will acquire Ecwid for total estimated consideration of approximately $500 million, satisfied by way of payment on closing of approximately $175 million in cash and issuance of subordinate voting shares in the capital of Lightspeed valued at approximately $325 million. The deal, which is subject to customary closing conditions and post-closing working capital adjustment, is expected to close during the quarter ended September 30, 2021 after the receipt of applicable regulatory approvals.”