Prof G Markets: Raspberry Pi’s London IPO & Mistral’s $640M Funding Round

London Appeal

The London Stock Exchange (LSE) is gaining attention with Raspberry Pi's decision to list there, marking a significant shift in the perception of the LSE. Scott Galloway highlights that the LSE, often seen as a fallback option, is now attracting innovative companies like Raspberry Pi, which was valued at nearly $700 million and saw a 38% surge on its first trading day 1. This move challenges the notion that the US market offers better valuation multiples, as Eben Upton, Raspberry Pi's CEO, notes that the perceived valuation jump in the US isn't necessarily real 2.

It's a big deal because it could change the world's outlook on the London Stock Exchange.

--- Scott Galloway

The LSE's appeal is further bolstered by the potential listing of Shein, suggesting a growing trend of tech companies considering London as a viable option for their IPOs.

   

IPO Dynamics

The dynamics of the IPO market are evolving, with the LSE offering unique advantages that could influence future tech listings. Scott Galloway discusses how the IPO market is often skewed in favor of institutional investors, but the LSE's approach might level the playing field by allowing companies a conditional dealing period to gauge demand 3. This strategy could make the LSE more attractive to companies looking for a fairer valuation process.

Raspberry PI a little bit turns listing on the LSE from a bug to a feature.

--- Scott Galloway

The success of Raspberry Pi's IPO could enhance the LSE's reputation, making it a more appealing choice for tech companies worldwide 4.