Payments industry M&A activity marches on. The latest finds Lightspeed acquiring ShopKeep in a medium-sized deal that combines two players in the retail POS market. ShopKeep’s sweet spot is the small to medium retail and restaurant sector that uses its iPad-based checkout system. ShopKeep’s software solutions add business tool features helping shop owners with operational details such as data analytics and inventory management. This deal will bulk up the size of Lightspeed and provide more competition to big players such as Fiserv’s Clover and also Square.
The following excerpt from a ZDNet article reports more on the topic:
Point-of-sale vendor Lightspeed is acquiring rival ShopKeep in a $440 million deal that signals further consolidation in the industry. Lightspeed said the acquisition will accelerate its growth as an emerging category leader following its recent initial public offering. Both Lightspeed and ShopKeep develop POS technology for small and medium sized businesses, with portfolios geared toward retailers and restaurants.
Lightspeed offers specialized point-of-sale systems for restaurants, retail, and e-commerce operations. Its cloud-based software lets businesses manage inventory and marketing, monitor sales, manage employees, and process payments. The software also works with third-party platforms for additional marketing, customer loyalty, and employee management capabilities.
“ShopKeep’s commitment to enabling independent businesses to dream big and rise above industry and economic challenges is deeply aligned with our own mission to power the future of commerce,” said Lightspeed CEO Dax Dasilva.
Overview by Raymond Pucci, Director, Merchant Services at Mercator Advisory Group