Raspberry Pi Ltd, the UK-based computer manufacturer, is preparing for an initial public offering (IPO) on the London Stock Exchange, possibly in the second half of 2024, according to statements made by CEO Eben Upton. This decision comes as a result of lessons learned from Arm's unsuccessful IPO, and the company's intention to opt for better market conditions.
The company, co-founded by Upton and the Raspberry Pi Foundation in 2008, initially planned for an IPO in 2021. However, due to global chip shortages and unfavorable listing conditions, it was postponed. Despite these challenges, Raspberry Pi secured investments from Lansdowne Partners, Ezrah Charitable Trust, and Sony’s semiconductor division, maintaining its valuation at $500 million.
On Sunday, during a Cambridge event for Raspberry Pi's resellers, Upton expressed confidence in the company's readiness for the IPO. He emphasized his belief in London's appeal for listings due to its smart money approach, distinguishing Raspberry Pi from other UK firms such as Arm, CRH (NYSE:CRH), and Flutter that have favored US listings.
Raspberry Pi Ltd is governed by the Raspberry Pi Foundation, an educational charity that may retain shares after the IPO and could potentially receive future profits. The company has sold approximately 55 million computers to date and reported revenues of $188 million with an operating profit of $20 million.
Last year, amid a global chip shortage, the company fell short of its nine-million-unit demand target, selling only five million units. Despite this setback, Upton projects a sale of seven million units this year. The company had previously raised $45 million at a $500 million valuation in 2021 and secured an undisclosed sum this year at the same valuation.
While the exact timeline of the IPO depends on market conditions, Raspberry Pi's plan to go public represents a significant milestone for the company and the UK tech sector.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.