SUSE Linux for Sale: EQT Seeks Buyer with Valuation Up to $6 Billion

Linux, an open-source operating system with over 30 years of history, has spawned numerous distributions offering diverse functionalities, tools, and customization options. Its free and open nature has attracted millions of users globally. Now, SUSE, one of the oldest and most recognized Linux distributions, is up for sale, generating anticipation about its future owner.

SUSE Linux's journey began in March 1994 with the S.u.S.E Linux 1.0 version, whose acronym stood for 'Software und System-Entwicklung' (Software and System Development). Created by German students, this distribution distinguished itself with its stability, ease of use, and configuration, making it ideal for business environments. Over the years, SUSE has offered versions like openSUSE for personal use and SUSE Linux Enterprise (SLES) for the corporate sector.

EQT Considers Selling SUSE Linux After Eight Years of Ownership

Although Linux remains a minority operating system, its popularity has grown, driven by initiatives like SteamOS and improved drivers, leading to increasing adoption among gamers (projected to reach 3% market share on Steam by the end of 2025). Turning back to SUSE, its current owner, financial investor EQT, is exploring options for its sale. This process is in its early stages, seeking an offer it deems attractive.

EQT Partners acquired SUSE in 2018 for $2.5 billion, allowing it to operate autonomously. Before EQT, SUSE was purchased by Micro Focus in 2014, and prior to that in 2004, by Novell, with the goal of directly competing with Red Hat.

Current Valuation of SUSE Exceeds €5 Billion

In 2021, SUSE went public with a valuation exceeding $5 billion. However, it delisted in 2023, with EQT valuing it at $2.72 billion. Three years later, sources like Reuters indicate that EQT is now valuing it at $6 billion, which is approximately €5.2 billion.

A sale at this price would double its value at the time of delisting. Currently, the company generates revenues of around $800 million, with an EBITDA of approximately $250 million. This implies that a sale at $6 billion would represent about 20 times its EBITDA.