Spotify Crash Tackles Wall Street as Share Soar 26%
Spotify the largest music streaming service in Australia has made an unconventional entry into the share world after floating on Wall Street.
the 12-year-old Company chose a direct listing with their share jumping 26% to $165.90 making billions for Daniel Ek and Martin Lorentzon the two people who founded the Company.
Spotify bucked the bearish mood for technology stocks that wiped billions off Amazon, Facebook and Twitter by instantly climbing after three hours of horse-trading by market makers.
As part of the unusual launch, the company is not selling any new shares.
Daniel Ek and Martin Lorentzon, who co-founded Spotify 12 years ago, have no plans to sell their holdings, according to people with knowledge of their plans.
The listing process may set a new standard for highly-valued privately-held technology companies which have early investors looking to exit their investment without having to go through the requirements of an IPO the Financial Times claimed.