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Lightspeed Announces Pricing of Secondary Offering of Subordinate Voting Shares

Financings

LIGHTSPEED ANNOUNCES PRICING OF SECONDARY OFFERING OF SUBORDINATE

VOTING SHARES

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE

UNITED STATES

Montreal, QC (August 15, 2019) – Lightspeed POS Inc. (“Lightspeed” or the “Company”) (TSX: LSPD)

today announced that it has entered into an underwriting agreement with certain selling shareholders and a

syndicate of Underwriters (as defined below) in connection with its previously announced marketed

offering of subordinate voting shares (the “Offering”).

The Underwriters have agreed to purchase, at a price of $ 35.00 per share, an aggregate of 5,399,602

subordinate voting shares from (a) DHIDasilva Holdings Inc., an entity controlled by Dax Dasilva,

Lightspeed’s founder and Chief Executive Officer, (b) Caisse de dépôt et placement du Québec, (c) Inovia

Capital (through entities controlled by them) and (d) certain members of Lightspeed ’s management

(collectively, the “Selling Shareholders”). The Selling Shareholders have also granted the Underwriters an

over-allotment option, exercisable for a period of 30 days from the date of the closing of the Offering, to

purchase up to an additional 809,940 subordinate voting shares from the Selling Shareholders. Lightspeed

will not receive any of the proceeds of the Offering. The Selling Shareholders have agreed to a customary

lock-up period of 90 days following closing of the Offering, during which time they will be restricted from

disposing of any further securities of Lightspeed without the prior consent of the Joint Bookrunners (as

defined below). All of the existing lock-up arrangements entered into at the time of the Company’s initial

public offering will continue to remain in full force and effect in accordance with the terms set forth therein.

The Company also announced that, due to current market conditions, it has decided not to proceed with its

previously announced treasury offering of 1,160,000 subordinate voting shares. The Company remains well

capitalized, with US$191.4 million in cash on hand as at June 30, 2019, and no debt.

The Offering is expected to close on or about August 22, 2019, subject to satisfaction of customary closing

conditions.

The Offering is being conducted through a syndicate of underwriters led by BMO Capital Markets, J.P.

Morgan Securities Canada Inc. and National Bank Financial Inc. (the “ Joint Bookrunners”). CIBC World

Markets Inc., Scotia Capital Inc., TD Securities Inc. and Raymond James Ltd. are also acting as

underwriters for the Offering (together with the Joint Bookrunners, the “Underwriters”).

Lightspeed has filed a preliminary prospectus supplement dated August 12, 2019, and will file a final

prospectus supplement to its short form base shelf prospectus dated August 6, 2019 with the securities

regulatory authorities in each of the provinces and territories of Canada. The Offering will also be extended

to Qualified Institutional Buyers in the United States pursuant to the exemption from registration provided

by Rule 144A under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) and

corresponding exemptions from registration under state securities laws.

No securities regulatory authority has either approved or disapproved the contents of this press release. The

subordinate voting shares have not been, and will not be, registere d under the U.S. Securities Act, or any

state securities laws. Accordingly, the subordinate voting shares may not be offered or sold within the

United States unless registered under the U.S. Securities Act and applicable state securities laws or pursuant

to exemptions from the registration requirements of the U.S. Securities Act and applicable state securities

laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall

there be any sale of the subordinate voting shares in any jurisdiction in which such offer, solicitation or sale

would be unlawful.

The prospectus supplements contain important detailed information about the Offering. Copies of the

prospectus supplement s are or will be made available on SEDA R at www.sedar.com. Copies of the

prospectus supplements, when available, as applicable, may also be obtained from BMO Capital Markets,

Brampton Distribution Centre C/O The Data Group of Companies, 9195 Torbram Road, Br ampton,

Ontario, L6S 6H2 or by telephone at (905) 791- 3151 Ext 4312 or by email at

[email protected]; J.P. Morgan Securities Canada Inc., 66 Wellington Street West, Suite

4500, Toronto, Ontario, M5K 1E7; National Bank Financial Inc., Attention: NBF Syndication (Tel: 416-

869-6534), 130 King Street West, 4th Floor Podium, Toronto, ON, M5X 1J9, email: ECM -

[email protected];. Prospective investors should read the prospectus supplements before making an

investment decision.

About Lightspeed

Lightspeed (TSX: LSPD) is a cloud -based commerce platform powering small and medium -sized

businesses in approximately 100 countries around the world. With smart, scalable, and dependable point of

sale systems, it ’s an all -in-one solution that helps restaurants and retailers sell across channels, manage

operations, engage with consumers, accept payments, and grow their business.

Headquartered in Montréal, Canada, Lightspeed is trusted by favorite local businesses, where the

community goes to shop and dine. Lightspeed has grown to over 800 employees, with offices in Canada,

USA, Europe, and Australia.

Forward-Looking Statements

This press release may include forward -looking information and forward- looking statements within the

meaning of applicable securities laws ( “forward-looking statements”), including statements regarding the

proposed Offering, the terms thereof and the proposed use of proceeds.

Forward-looking statements are statements that are predictive in nat ure, depend upon or refer to future

events or conditions and are identified by words such as “will”, “expects”, “anticipates”, “intends”, “plans”,

“believes”, “estimates” or similar expressions concerning matters that are not historical facts. Such

statements are based on current expectations of the Company ’s management and inherently involve

numerous risks and uncertainties, known and unknown, including economic factors. A number of risks,

uncertainties and other factors may cause actual results to differ materially from the forward -looking

statements contained in this news release. Completion of the Offering and the terms thereof are subject to

numerous factors, many of which are beyond the Company and the Selling Shareholders’ control, including,

among other factors, the risk of failure to satisfy customary closing conditions and other important risk

factors identified in our most recent Management ’s Discussion and Analysis of Financial Condition and

Results of Operations and under “Risk Factors” in our most recent Annual Information Form, both of which

are available under our profile on SEDAR at www.sedar.com . Forward- looking statements contained in

this press release are not guarantees of future performance and, while forward-looking statements are based

on certain assumptions that the Company considers reasonable, actual events and results could differ

materially from those expressed or implied by forward-looking statements made by the Company. Readers

are cautioned t o consider these and other factors carefully when making decisions with respect to the

Company and not to place undue reliance on forward- looking statements. Except as may be expressly

required by applicable law, Lightspeed does not undertake any obligation to update publicly or revise any

such forward-looking statements, whether as a result of new information, future events or otherwise.

Contacts:

Chris Mammone

The Blueshirt Group

[email protected]

Brandon Nussey

Chief Financial Officer

[email protected]

SOURCE Lightspeed POS Inc.