About 56 million Spotify shares up for grabs on April 3
Music streaming company Spotify has posted an amended filing to the US Securities and Exchange Commission disclosing that it expects stakeholders to sell up to 55.7 million shares — about 47 percent — in the firm on the New York Stock Exchange from April 3.
The company has been planning on a direct listing, meaning that it would not seek new capital to bolster the value of its offering. It also means that it would trade on its current value, currently believed to be somewhere around $19 billion, Reuters reports.
Spotify also reported that CEO Daniel Ek has the option to trade up to 15.8 million shares. The company is still working with Morgan Stanley to set a unit price, but analysts say that Ek’s stake could be worth anywhere from $775 million to $2 billion.
The firm also mentioned that it has a three-year, $447 million contract with Google Cloud Platform for hosting.