Spotify's market debut is worth billions for Tencent and Sony

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That means that Sony expects to record a gain of $97.30 a share in its next earnings report for all of the shares it held before trading began on the Spotify stock yesterday.

Since launching its streaming music service a decade ago, the Stockholm-founded company has overcome heavy resistance from big record labels and some major music artists to transform how the industry makes money.

It closed at $149.01, a drop of more than 10 per cent but still above the pre-trading reference point - and ending the day with a value of $26.5 billion.

For its stock debut, Spotify hired Goldman Sachs Group Inc., Morgan Stanley and Allen & Co.as advisers and paid them about $36m in total.

Spotify's core business is online music streaming services that allow customers to play music through the internet. But existing shareholders-be they the venture funds who have financed the company thus far or the employees who were compensated with shares in the past-weren't selling. However, Michael Carvin, Chief Executive of personal finance company SmartAsset, pointed out that this might be an exceptional case and warned other companies from being carried away by Spotify's success. Revenue of $5 billion previous year was up 39% from 2016.

Get access to our daily newsletters, Best Stocks List, POWR Ratings, and much more! But though Millennials are also a key demographic for Spotify, the Swedish company's listing did not draw disproportionate interest from that generation.

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Spotify owns about 9% of Tencent Music, a stake valued at €910 million ($1.1 billion), according to a regulatory filing with the US Securities and Exchange Commission.

Spotify has had a solid debut on Wall Street in one of the most anticipated technology listings in recent times.

Spotify said in a regulatory filing that it had 159 million monthly users including 71 million paying subscribers - twice that of closest rival Apple Music.

"Normally, companies don't pursue a direct listing".

CEO Daniel Ek, who owns just over 9 percent of the music streaming company, is now sitting on about $2.3 billion of Spotify stock at its current price.

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