Raspberry Pi IPO: Raspberry Pi decides to launch its IPO on London Stock Exchange

Raspberry Pi IPO: The computer manufacturer Raspberry Pi has decided to launch its first IPO soon on the London Stock Exchange. This will give the capital’s stock exchange a much-needed boost.

The company business is based in Cambridge and manufactures small on-board computers. The company said that it plans to use the money raised through subscriptions to improve its sales team for widespread reach and grow its design consultancy business.

Raspberry Pi also claims that its current total market size is about £17 billion and “reflecting a substantial opportunity for it to capitalise on and sustain its strong growth trajectory.”

Raspberry Pi expects to raise up to £500 million through public subscription.

As per the reports, in FY23, the company made a revenue of $266 million (£211 million) with $66 million in gross profits and also earned $38 million as operating profit.

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In a statement, Raspberry Pi CEO, Eben Upton said, “A remarkable ecosystem of individuals and businesses has grown around Raspberry Pi, supporting both the enthusiast and industrial markets to innovate and succeed with our products.”

He further added, “In an ever more connected world, the market for Raspberry Pi’s high-performance, low-cost computing platforms continues to expand. We have the technology roadmap to play an increasingly significant role, and we are excited to embark on the next stage of our growth.”

There are hopes that with this move the London stock market will get better after several businesses left the market in search of higher valuations elsewhere thus there aren’t many new listings.

The London Stock Exchange is no more in the top 20 global IPO locations in 2024.

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A recent report from Mergermarket shows the LSE’s main market took the 20th position in the first four months of the year as the market has made a lot of money through new listings.

Several companies based in London such as The London Tunnels and the fintech companies Zilch and Zopa decided to go public in the market but haven’t announced the exact launch date as the London market condition is unstable.

The fast fashion retailer Shein also planned to launch its IPO on the London Makrat but its first choice is the New York market.

The AJ Bell investment director Russ Mould said quoted by standard.co.uk, “The addition of an established, profitable technology company is exactly what the UK market needs to hopefully open the flood gates for more tech firms to list in London.”

He further added, “While Raspberry Pi is only a tiny player when pitched against the mega-cap tech names in the US, there are still plenty of characteristics which might pique someone’s interest. It has a large community of users [and] it makes money rather than simply being a bright idea that is not yet commercialised.”

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