Benzinga | Feb 9, 2021 05:33AM EST

Lightspeed Seeks To Raise More Than $570M In Secondary Offering To Bolster Financial Position

* Montreal's Lightspeed POS Inc. (NYSE: LSPD) is offering 7 million subordinate voting shares for sale in a secondary offering.

* The underwriters have an over-allotment option, exercisable for 30 days, to purchase additional shares up to 1.05 million, representing 15% of the total number of subordinate voting shares.

* Assuming the last closing price of $72.01, Lightspeed can raise gross proceeds over $570 million if underwriters exercise the option to purchase additional shares.

* Morgan Stanley, Barclays, and BMO Capital Markets are the joint lead book-running managers.

* Lightspeed will use the proceeds to bolster its balance sheet and pursue growth strategies.

* Lightspeed's operating cash flow loss increased from $10.7 million to $54.1 million year-on-year during the third quarter of FY20.

* Price Action: LSPD shares closed 0.66% lower at $72.01 on Monday.