Lightspeed POS, a Quebec based Canadian tech startup in the fintech payments space has just announced that it has successfully raised a hundred and sixty six million USD in a series D financing round.
The two areas - E-commerce as well as payments on digital platforms - have lately been witnessing a lot of disruption owing to new technology. These two areas have also managed to continue to attract big ticket investments. Lightspeed’s claim of path breaking disruption surely is up there with the greats, fortified further with the latest round of financing.
Lightspeed operates in the payments domain. It provides point of sale, accounting, inventory management, purchasing analytics, and other related services to brick-and-mortar retailers, restaurants and online businesses. Operating in this space has put it in direct competition with the reigning titans, i.e., the likes of Square and Shopify.
Lightspeed states that latest financing round was the highest sum ever raised by a Canadian technology startup till date. The firm aims to utilize these fresh funds to expand its business in newer markets as well as to build even deeper into its payments platform.
Dax Dasilva, CEO and co-founder, Lightspeed POS, believes that the current series D financing round would be the last round of private investments that the firm would be raising. Dax aims to take the company public with an IPO in the next eighteen to twenty months. 2019 Q3 is when Dax expects the listing to happen and be IPO ready by mid 2019.
One of the focus areas of Lightspeed going ahead is going to be building up its own payments processing infrastructure. At the moment, the firm is dependent on Vantiv and Cayan for the utilization of their infrastructure. Dax wholeheartedly believes that the payments processing infrastructure domain is going to pay insane dividends for Lightspeed in the long run post monetization.
This latest round of series D financing was led by La Caisse de dépôt et placement du Québec, Silicon Valley Bank and iNovia Capital were the other investors that participated in the current round.
Caisse de dépôt et placement du Québec is one of the largest money managers based out of Canada, managing managing investments for some of the country’s largest pension and insurance funds. Caisse de dépôt et placement du Québec invested a total of 136 million USD with iNovia Capital and Silicon Valley Bank putting up the balance of the total together. This brings the total to 292 million USD in funding that Lightspeed has raised since inception.
La Caisse is a returning investor, the series D being its second investment in the venture. The last round that the money managing firm had invested in, already had Lightspeed being touted as the biggest player in its field in Canada. This time around the venture has expanded operations and is operating in over one hundred countries and the biggest player in the world.
The firm's valuation has not been made public, but Dax states that it is a tad shy of the one billion USD mark or in the startup lingo “A Unicorn”. He hopes that by the time the company goes public, they would be able to achieve the billion dollar valuation.