Raspberry Pi confirms IPO on the London Stock Exchange
By ForGeeks British personal computer maker Raspberry Pi has confirmed its plans for an initial public offering in London, a small step for an exchange that is lagging behind a wider revival of listings in Europe.
The company has confirmed its plans for an initial public offering in London.
The offering will consist of new shares to raise $40 million and existing shares sold by interested parties, the company said in a statement Wednesday. Raspberry Pi, which is controlled by a charitable foundation, expects to go public on the London Stock Exchange’s main market in June, the statement said.
The company said.
The listing, though small, is a welcome boost for the weakened British market, whose share has fallen to just 2 percent of the $12.3 billion raised in initial public offerings in Europe this year, the lowest in decades, according to data compiled by Bloomberg. With British stocks trading at a discount compared with many major overseas markets, the London IPO market has been held back by the prospect of companies seeking higher valuations elsewhere. Raspberry Pi would like a valuation of about 500 million pounds ($637 million), as Bloomberg News reported earlier this month. The IPO would be the biggest in London since Kazakhstan’s Air Astana floated its global depositary receipts there in February.
The IPO would be the biggest in London since Kazakhstan’s Air Astana floated its global depositary receipts there in February.
The chipmaker’s investment arm Arm Holdings Plc has agreed to buy $35 million worth of shares in the IPO, while Lansdowne Partners UK LLP will acquire up to $20 million in key investment deals. Both companies are existing shareholders in the company. The company, which makes low-cost computers popular with enthusiasts and educators, has raised funds in the past from Arm’s semiconductor unit and Sony Group Corp. Arm, a British chip developer itself, decided to list its shares in New York rather than London.
The company’s shares are in New York, not London.
The Raspberry Pi had revenue of $265.8 million last year and adjusted earnings before interest, taxes, depreciation and amortization — $43.5 million. Jefferies International Limited and Peel Hunt LLP are the joint global coordinators of the IPO. The company plans to use the proceeds from the sale of the new shares for capital expenditures for engineering, supply chain resiliency and general purposes.
The company plans to use the proceeds from the sale of the new shares for capital expenditures for engineering, supply chain resiliency and general purposes.
