Spotify direct listing on New York market to go ahead in April

 
Alys Key
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Spotify will use a direct listing system (Source: Getty)

Spotify will go public on the New York Stock Exchange with a direct listing as early as next month, it has emerged.

The music streaming service will hold an investor meeting later this week, ahead of a float which has now been scheduled for 2 April, Bloomberg reported.

Its debut on the stock market will differ from the usual format, as the company will not issue any new shares. The process, known as a direct listing, means that the company and its investors or employees can sell any shares they own to the public.

Spotify is one of the largest companies to ever opt for this form of public offering, and can only do so due to recent rule changes which allow it on the New York Stock Exchange.

According to Bloomberg, Spotify will spend the short space of time before it enters the market meeting with investors to assist with a smooth process.

It comes as part of a wave of tech offerings, with Dropbox's IPO set to value the company at $7bn. Meanwhile Farfetch today announced another strategic partnership as it moves towards a probable IPO, while Airbnb is also expected to list in the near or medium term.

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