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Spotify officially files to go public, IPO values company at $23 billion

on February 28, 2018, 2:48pm

Following month rumors, Spotify officially filed to go public on Wednesday, according to CNBC.

The music streaming service will begin trading on the New York Stock Exchange (NYSE) under the ticker name “SPOT”.

By moving directly into the open market, Spotify is forgoing the traditional IPO path of allowing underwriters to set an initial price. Instead, it offered some guidance in its filing based on private share sales that value the company as high as $23 billion. The company is targeting a $1 billion IPO.

The filing reveals that Spotify boasts 159 million monthly active users and 71 million paying premium subscribers as of January 1st. The company generated close to $5 billion in revenue in 2017, but saw its operating loss exceed $460 million. The filing also notes that Spotify has paid more than $9.77 billion to rights holders over the course of its 10-year existence.

Read: What the Spotify IPO Means For the Future of Music)

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