Spotify IPO rumour mill goes into overdrive over $200m credit line
Speculation suggesting that Spotify could be the next technology major to embark upon an Initial Public Offering has reached fever pitch following news that the Swedish firm has been negotiating a $200m credit line – just seven days after buying music algorithm specialist The Echo Nest.
Facebook and Twitter both negotiated similar deals in advance of their own IPO’s - with the sheer scale of the credit line adding further grist to the rumour mill.
Anlaysts had pencilled in an IPO for the Swedish outfit in 2015 but the feeling is this could now be brought forward to take advantage of favourable equity markets at present.
Spotify more than doubled its revenue in 2012 to 435m euros but this wasn’t enough to turn a profit with the firm going on to make a net loss of 58.7m euros.
No official comment on the speculation has been given.