Hobbyist computer company prepares £500m London listing

Raspberry Pi is best known for its low-cost, credit card-sized computers that are prized by hobbyists and hobby programmers. Photo: Raspberry Pi/PA

British hobbyist computer company Raspberry Pi is applying to list on the UK stock exchange, a rare boost for the city.

Raspberry Pi, best known for its low-cost, credit-size computers map, which are appreciated by hobbyists and amateur programmers. , has announced its intention to float shares and is expected to reach a valuation of around £500 million in the coming days.

It comes after the Cambridge-based company said on Wednesday that revenue rose 42% last year to $265.8m (£211m).

It will sell new shares to raise funds , while its majority owner, the Raspberry Pi Foundation, will also sell part of its stake in the flotation.

The flotation will be one of the largest UK technology company listings in recent times. years, and this comes after several technology companies left the London Stock Exchange.

Eben Upton, co-founder and CEO of Raspberry Pi, said the company advised investors about listing in New York but ultimately decided on London.

CEO Eben Upton says the placement will allow the Raspberry Pi Foundation to redouble its efforts to get young people interested in computing. Photo: David Rose

The company confirmed on Wednesday that it plans to go ahead with the flotation and will file paperwork for listing later in the day.

Raspberry Pi said pre-tax profits nearly doubled last year, from $20 million to $38.2 million, adding that sales of its computers were expected to grow 10% to 12% over the medium term. .

However, the company warned that profits will be lower this year due to startup costs associated with the upcoming Raspberry Pi 5 computer.

Since the company was founded in 2008 and released its first product in 2012, it has sold more than 60 million devices.

The cheapest computer costs £3.90, while the most expensive costs around £60. Enthusiasts use them to create smart home hubs, DIY computer servers, or retro gaming consoles.

Raspberry Pi said it will focus on more expensive and powerful devices to serve enterprise customers. Fans have expressed concern that the listing could mean the company will abandon its dedicated community of hobbyists.

Outside Raspberry Pi investors include Arm and Sony. The foundation, which owns the majority of the company, was created to encourage programming among schoolchildren.

Mr Upton said: “For the Raspberry Pi Foundation, a patient and supportive shareholder, this IPO is an opportunity to redouble its efforts. for their outstanding work to empower young people to realize their potential through computing power.

“Raspberry Pi enthusiasts will see the next phase of our development offer unprecedented opportunities for creativity and innovation.

“In an increasingly connected world, the market for high-performance, low-cost Raspberry Pi computing platforms continues to expand. We have a technology plan that will allow us to play an increasingly important role, and we are excited to embark on the next phase of our growth.”

Jeffries and Peel Hunt are working on the listing.