SUSE Shifts Gears: Largest Shareholder Aims to Make it Private

Majority shareholder initiates move to privatize SUSE.

In brief

• In a surprising move, SUSE – the driving force behind SUSE Linux Enterprise (SLE), is poised to undergo a significant transformation.
• The company’s largest shareholder, Marcel LUX III SARL (Marcel), has announced its intention to take SUSE private, initiating a merger that will see the company delisted from the Frankfurt Stock Exchange.
• This strategic manoeuvre is expected to streamline SUSE’s focus and empower it to execute its long-term vision.

SUSE goes private

Marcel, a holding company overseen by fund entities of the EQT VIII fund, is set to play a pivotal role in this shift. The EQT Private Equity’s affiliates, with a base in Stockholm, Sweden, will legally control the process, taking SUSE under their wings as a privately-held entity. Presently, Marcel commands an impressive 79% share of SUSE, making this move a substantial shift in the company’s structure and direction.

The journey of SUSE has been storied, marked by transitions between different owners and hands over the years. From its origins as an independent company to its pivotal acquisition by Novell two decades ago, SUSE has journeyed through various iterations. Over the past ten years, it has passed through the hands of Attachmate, Micro Focus, and EQT Partners, culminating in its public listing on the Frankfurt Stock Exchange in 2021.

As Marcel assumes the reins, SUSE’s devoted user base and the broader Linux community are undoubtedly eager to understand the implications of this transition. While the process is complex, the ultimate goal is clear: to enable SUSE to concentrate wholeheartedly on its operational priorities and the execution of its long-term strategy. To facilitate this momentous change, SUSE’s Management Board and Supervisory Board have lent their support, viewing the delisting as a pivotal opportunity for the company’s future growth.

For existing shareholders of SUSE, this transition marks a crucial juncture. Marcel’s approximately €16 per share offers a compelling 67% premium over the current share price. Those who wish to continue their investment journey with SUSE can choose to retain their stake in the company, albeit as a private entity under Marcel’s ownership.

There were no official timelines for this move. However, it is unlikely that there will be any changes in how you consume the ALP, Suse Linux, SLE and other open-source products.

You can learn more in the official press release.

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