Sezzle to List on Nasdaq and Offer Stock to US Buyers

Buy now, pay later (BNPL) provider Sezzle intends to list shares of common stock on the Nasdaq Global Market.

Should this proposed listing happen, the company’s shares of common stock will continue to trade on the Australian Securities Exchange (ASX) and it intends to enable it to be sold to United States buyers on the ASX as well, the payment platform said in a Monday (March 13) press release.

In addition, subject to stockholder approval, Sezzle intends to do a reverse split of its common stock in a move that it said the company expects will enable it to meet or exceed the minimum $4 bid price required by Nasdaq Global Market, according to the press release.

“A listing on the Nasdaq is a natural evolution for Sezzle given the company is already filing the necessary reports with the [Securities and Exchange Commission (SEC)],” Sezzle Chairman and CEO Charlie Youakim said in the release. “Although we are not seeking to raise capital as part of the Nasdaq listing, we are excited to expand the universe of potential investors to the United States.”

This announcement comes about two weeks after Sezzle said in an earnings release that its income jumped 16.2% to a record $38.3 million in the fourth quarter of 2022 and that it has identified other revenue sources that can bring it an additional $10 million in 2023.

“Fiscal year 2022 will go down as a watershed moment for Sezzle,” Youakim said in the Feb. 28 release. “We went from a company that reported a net loss of $75.2 million in fiscal year 2021 to exiting 2022 with net income in the fourth quarter.”

Going into 2023, it took hard choices and tough actions to get to profitability, Youakim told PYMNTS’ Karen Webster in an interview posted Feb. 1.

The effort began in late 2021, and by late 2022 and early 2023, some partners who have grown frustrated by changes Sezzle was making as it worked to pivot to profitability started to see that the firm was perceptive about market problems and transparent in its approach to fixing its model, Youakim said at the time.

“Most people want to work with smart partners,” Youakim said. “I think in some ways it helped us with those relationships because we were so honest about it.”