E-commerce software producer Lightspeed agreed yesterday to buy US-based business-to-business e-commerce platform operator NuOrder for $425m, enabling telecommunications firm Novel Group and talent agency Creative Artists Agency (CAA) to exit.
Half the price consists of cash and the other half is made up of subordinate voting shares. Lightspeed has also entered an agreement to buy Ecwid, a software platform used by enterprises to create online stores, in a $500m deal.
NuOrder was founded in 2011 and has built an online platform that lets retailers buy stock from more than 3,000 brands. The company generated over $20m of revenue for the year ending March 2021, processing $11.5bn of orders through its platform.
Dax Dasilva, founder and CEO of Lightspeed, said: “By joining forces with Ecwid and NuOrder, Lightspeed becomes the common thread uniting merchants, suppliers and consumers, a transformation we believe will enable innovative retailers to adapt to the new world of commerce.
“As economies reopen and business creation accelerates, we hope to embolden entrepreneurs with the tools they need to simplify their operations and scale their ambitions.”
Investment firm Brighton Park Capital and venture capital firm Imaginary Ventures co-led a $45m round for NuOrder in March 2021. It had received $15m in a series C round in 2018 led by NewSpring Capital and backed by Argentum and Upfront Ventures.
Argentum led NuOrder’s $8m series B round in 2017, investing with Novel TMT, a corporate venturing vehicle for Novel Group, as well as Upfront Ventures, Greycroft, Cowboy Ventures and Box Group. It had pulled in $3m in a 2012 series A round led by GRP Partners with participation from CAA, Greycroft and assorted angel investors.