TCV offloads nearly $190 Million in Spotify shares
Discover why Spotify’s longtime investor TCV just sold nearly $190 million in shares and what this move reveals about the future of digital music investment.
Technology Crossover Ventures (TCV), a long-time and early backer of Spotify, has sold nearly $190 million worth of the music streaming giant’s shares, according to recent filings and reports. The move comes amid a sustained surge in Spotify’s stock price and appears to be part of a broader strategy by TCV to recalibrate its investment focus within the digital music and technology landscape.
TCV, which led Spotify’s Series F funding round in 2013 and has held a substantial stake in the company for over a decade, was instrumental in the streaming service’s early growth. Spotify’s public listing in 2018 was one of the most high-profile tech debuts in recent memory, and TCV has been one of its most notable institutional investors throughout its transition into a global platform with over 600 million users.
While TCV has gradually reduced its stake over the years, this most recent sell-off, amounting to approximately $189.5 million, is one of the largest to date. The decision reflects both an opportunity to realize returns amid favorable market conditions and a reallocation of capital into new ventures.
TCV’s divestment coincides with Spotify’s exceptional stock market performance in 2025. As of early May, Spotify shares were trading at around $632.85, more than doubling from a 52-week low of $286.21. The company’s market capitalization now stands at approximately $129.5 billion, bolstered by strong financials and a renewed growth narrative.
In its Q1 2025 earnings report, Spotify posted an operating profit of €509 million ($535.6 million) and a 15% year-over-year revenue increase to €4.19 billion ($4.4 billion). The platform also saw continued expansion in its paid subscriber base and further monetization of its advertising-supported tier. These performance indicators have driven investor optimism and a robust rally in the company’s stock.
The firm is currently participating in a consortium led by Denis Ladegaillerie, the founder and CEO of Believe, a France-based digital music company that specializes in artist and label services. TCV already owns a 96.65% stake in Believe’s share capital and 95.63% of its voting rights.
The consortium has launched a formal offer to acquire the remaining public shares of Believe, signaling TCV’s intent to take the company fully private. This move represents a substantial bet on the future of music distribution, rights management, and independent artist growth, areas in which Believe has built significant infrastructure and market credibility.
TCV is not alone in capitalizing on Spotify’s soaring stock. The company’s co-founder and CEO Daniel Ek has reportedly sold over $800 million worth of Spotify shares since mid-2023. His most recent transaction in April 2025 saw him unload $28.8 million in stock. These insider sales, while not uncommon during bullish market periods, have drawn attention as Spotify continues to execute on long-term growth initiatives including AI-driven personalization and global podcasting expansion.
The move by TCV to shift capital from Spotify to Believe underscores the evolving priorities of institutional investors in the digital media space. While Spotify remains a dominant player in streaming, the music tech ecosystem is diversifying rapidly, with opportunities arising in adjacent sectors such as virtual concerts, direct artist monetization, and decentralized rights management.
TCV’s realignment could also reflect a desire to invest more deeply in businesses where it has greater influence or ownership control. With Believe, TCV stands to play a more direct role in shaping strategic decisions, something not as feasible in a publicly traded giant like Spotify.