Raspberry Pi Maker Sells For $877.7 Million - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Data Management // IoT
02:06 PM

Raspberry Pi Maker Sells For $877.7 Million

Premier Farnell PLC has agreed to be purchased by Daetwyler Holding AG, a Swiss supplier of electronic components, for $877.7 million.

9 Raspberry Pi Projects For Your Summer Vacation
9 Raspberry Pi Projects For Your Summer Vacation
(Click image for larger view and slideshow.)

One of the largest manufacturers of Raspberry Pi computers agreed to be acquired, bringing to an end the British-owned manufacture of the incredibly popular tiny computer. Premier Farnell PLC, based in Leeds, began manufacturing Raspberry Pi systems in 2012. It is being purchased for $877.7 million by Daetwyler Holding AG, a Swiss supplier of electronic components.

Premier Farnell, which was founded before World War II, had become a conglomerate, selling parts and components ranging from fire-fighting equipment to printed circuit boards. After a series of earnings warnings last year, the company began to divest non-electronic businesses, finishing the process by agreeing to be acquired by Daetwyler earlier today.

(Image: jeesoen/iStockphoto)

(Image: jeesoen/iStockphoto)

According to statements from both companies, the expectation is that the combination will allow significant operational savings as the result of combined back-office and support departments. Daetwyler, founded in 1915, is the larger company, with a current value of around $2.35 billion.

[Small projects don't require a Raspberry Pi. Read 9 Fun Embedded Projects, No Raspberry Pi Required.]

The $877.7 million price agreed to for Premier Farnell is a significant premium on the company's pre-purchase valuation. As is common in purchase situations, Premier Farnell's share price rose in trading after the agreement was announced, shooting up by nearly 50% before settling back slightly, while Daetwryler's share price dropped by around 4% in the same time.

Neither company has made a statement about the future of Raspberry Pi production, though it is unlikely that customers would see any immediate change in availability or configuration. In statements made regarding the acquisition, Daetwyler said that the purchase will strengthen its position in design engineering and maintenance. The two companies together should be in a stronger financial position, making it less likely that the market for tiny Linux-based computers will see any significant disruption.

Curtis Franklin Jr. is Senior Analyst at Omdia, focusing on enterprise security management. Curtis has been writing about technologies and products in computing and networking since the early 1980s. He has been on staff and contributed to technology-industry publications ... View Full Bio
We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
InformationWeek Is Getting an Upgrade!

Find out more about our plans to improve the look, functionality, and performance of the InformationWeek site in the coming months.

IT Leadership: 10 Ways to Unleash Enterprise Innovation
Lisa Morgan, Freelance Writer,  6/8/2021
Preparing for the Upcoming Quantum Computing Revolution
John Edwards, Technology Journalist & Author,  6/3/2021
How SolarWinds Changed Cybersecurity Leadership's Priorities
Jessica Davis, Senior Editor, Enterprise Apps,  5/26/2021
White Papers
Register for InformationWeek Newsletters
2021 State of ITOps and SecOps Report
2021 State of ITOps and SecOps Report
This new report from InformationWeek explores what we've learned over the past year, critical trends around ITOps and SecOps, and where leaders are focusing their time and efforts to support a growing digital economy. Download it today!
Current Issue
Planning Your Digital Transformation Roadmap
Download this report to learn about the latest technologies and best practices or ensuring a successful transition from outdated business transformation tactics.
Flash Poll