LastPass Becomes Independent Firm, But It’s Still Owned by Private Equity

Password manager LastPass is spinning itself off from LogMeIn to become its own standalone company. However, the change isn’t as drastic as it sounds. The private equity firms that acquired and own LogMeIn will still control LastPass. 

Francisco Partners and Evergreen Coast Capital Corp, which specialize in trying to maximize the value of an asset for later sale, are spinning off LastPass, citing major growth opportunities for the password manager, which currently has 30 million users. 

These users include both consumers and corporations at a time when the rise in remote work during the pandemic is fueling adoption of secure login methods. “As the leading password manager for individuals and businesses,this change allows us to strategically increase focus, investment, and support in LastPass to be able to solve your password problems faster and in even more innovative ways,” said LogMeIn CEO Bill Wagner in Tuesday’s announcement. 

The new LastPass promises improvements to the password manager on an accelerated timeline. “We are working on faster, seamless save and fill, a delightful mobile experience, and even more third-party integrations for businesses, among many other updates,” Wagner added. 

Other changes include expanding customer support to answer questions more quickly and redesigning the LastPass website. “We are investing directly in areas that customers like you have told us are most important,” Wagner said. 

Of course, existing users may be worried about changes, such as a potential price increase. Back in February, LastPass also added a new restriction for free users that only allowed them to access the password manager on PCs or mobile phones, but not both.

For now, Wagner simply said: “Don’t worry—there are no changes to your account or data in your vault. This is the same great product, now with even more focus on keeping your data safe.”