Spotify's Stock Market Debut

Apr 05, 2018, 01:22
Spotify's Stock Market Debut

That's still above the $132 reference price set by the NYSE, but well below the stock's Tuesday opening price of $165.90, when a total of 5.6 million shares changed hands in the first trade. Its closest competitor, Apple Music, only has 36 million subscribers, reported CNBC.

Spotify stock ended its second day of trading at $145.87 down $4.79 or 2.11%.

The Swedish company used a direct listing method: instead of issuing new shares, early investors in Spotify were able to sell their existing holdings to cash in on the service's growth over the past decade.

The company's was listed with a price of 165.90 United States dollars per share, which is 26% higher than the reference price of 132 USD per share set by the NYSE on Monday. That followed several analyst reports that gave the company's stock lukewarm ratings. Spotify now has a higher market value than Snapchat owner Snap Inc, which went public a year ago.

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The unusual listing had added to the suspense over how Spotify would fare on the market as the company, while big on its cool factor, has yet to turn a profit.

The music streaming company made its debut on the New York Stock Exchange overnight.

Personal details stored online are being hacked and then sold off - allowing the purchaser to access someone's subscription to Spotify for a tiny fraction of the above-board pricetag, says the Dark Web Market Price Index.

He expected more companies to follow Spotify's strategy in the future, taking their time to list on the market.

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So in order to figure out how much is going out in royalties, one would have to know what Sony was carrying the Spotify stock at on its books before the digital services shares began trading.

At the end of past year, Spotify counted 159 million monthly users of which 71 million are premium subscribers.

Last month, Spotify announced that it is aiming for 200 million monthly users by the end of this year, with around 96 million paying subscribers. And it feels like the right time to pause and acknowledge the thousands of Spotify employees around the globe who helped build out the Spotify ecosystem while staying true to who we are and what we believe.

Spotify CEO Daniel Ek declined an invitation to ring the opening bell at NYSE.

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