We’ve been hearing reports for a couple of years that Spotify is planning to go public. The world’s largest music streaming service hasn’t confirmed anything at this point in time. However, according to a new report by Axios, Spotify confidentially filed IPO documents with the Securities and Exchange Commission at the end of last month.
Spotify hasn’t confirmed anything about its IPO plans for now but reports suggest that the company is aiming to go public in the first quarter of 2018. There are even suggestions that Spotify might go public next month.
The company is believed to be opting for a non-traditional approach to go public. It won’t be doing a traditional float and will instead pursue a Direct Listing. A direct listing means that the company and its bankers won’t conduct road shows to entice potential investors.
A direct listing will see employees and venture capitalists sell their shares directly to investors. Some are saying that this will be a test case for tech companies and if it goes well, this IPO might potentially change how tech companies choose to go public.