Spotify planning to list shares on NY Stock Exchange next month, reports say

After rumours of an upcoming IPO for Spotify have circulated for more than a year Spotify are reportedly now taking a new approach.

A report from Bloomberg this week suggests that as early as the start of April, Spotify will be listing shares on the world’s largest stock exchange, the New York Stock Exchange. According to ‘people with knowledge of the matter’ Spotify Technology SA are planning to debut on the stock market on April 2nd.

For a long time Spotify have been rumoured to be going for an Initial Public Offering however have, since launching almost 10 years ago, avoided an IPO process or issuing new shares to raise money. They have instead survived on private stock sales over the years which, based on transactions, has put their value at over $20 billion. By going onto the NY Stock Exchange existing stakeholders in Spotify will have the option to offer their shares to investors.

According to Bloomberg’s report Spotify will be meeting with investors over the next few weeks to discuss and arrange their approach to a direct listing on the stock exchange. Spotify will reportedly host an investor day on the 15th March to sell the prospects of their company and business. Not that Spotify will have to do much selling as they currently lead the entire global music streaming market which has rejuvenated the music industry with rising profits and new opportunities.

Spotify’s most recent SEC filing puts their stock valuation at between $90 to $132.50 a share. In comparison shares for Pandora Media, who run Pandora Radio are valued at just above $5 a share. However Spotify warn that private shares “may have little or no relation to the opening public price of our ordinary shares on the NYSE or the subsequent trading price of our ordinary shares on the NYSE”.

Independent artists are taking over as global music grows $1.4 billion

Streaming continues to revitalise the music industry as new reports show one-and-a-half billion dollars of growth globally last year alone. The latest report from Midia Research shows a monumental year of growth for the worldwide music…

Hi-res streamers Qobuz set their sights for the US as they name new CEO

European based music streamers Qobuz are setting sail for the Americas as they expand under new management. High resolution music streaming service Qobuz are set to launch their services in the US this summer, expanding…

One comment

Leave a Reply

Your email address will not be published. Required fields are marked *