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Spotify defiant on IPO approach – looks for 40% subs growth in 2018

Spotify will go public in the next few days, in an unconventional fashion where it is not issuing new shares, just allowing people to sell their existing shares publicly in what is called a direct listing – almost unheard of these days. It will put a value on the company certainly above $16 billion, but possibly as high as $25 billion. It has $1.5 billion in the bank and is only going public to satisfy debtholders, who have converted their debt into equity and will likely cash in all or part of their holding during the IPO. As a result the company has no debt, and its two founders, Daniel Ek and Martin Lorentzon, are both likely to get considerably…

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