The Raspberry Pi IPO could see the company given a market capitalization of £540 million ($686 million) amid speculation that shares may be priced around £2.80 ($3.56).
According to reports, the IPO is set to raise £179 million ($228 million) from the IPO, which will give the company a valuation of circa £540 million ($686 million). The pricing would be would be at the top end of its range, according to terms seen by Bloomberg.
Reports have also noted that the deal is oversubscribed “by multiple times.”
Trading is expected to start on June 14.
The company announced its intention to Float on the London Stock Exchange on May 22, 2024, following months of speculation. In late 2023, chip designer Arm took a minority stake in the business.
Raspberry Pi makes low-cost computers that were initially targeted at hobbyists and educators but have since been embraced by industry. A recent report forecast that the global industrial Raspberry Pi market size would reach $385 million by 2026.
In an effort to assuage worries about what the IPO will mean for the company, Philip Colligan, chief executive of the Raspberry Pi Foundation – a UK-based educational charity – explained the IPO would allow the Foundation to expand its activities. “Put simply, instead of receiving a share of the company’s profits each year, we will convert some of our shareholding into an endowment that we will use to fund our educational programmes.”
“The Foundation will remain a significant shareholder and we will continue to share the Raspberry Pi brand. We will be involved in decision making on the same basis as all other shareholders.”
In an interview with The Register earlier this year, Pi supremo Eben Upton said of the IPO, “We’ve always tried to run a business that does interesting work and makes money, and I don’t think those imperatives are going to change. We will keep doing the same stuff.
“Certainly while I’m in charge.” ®