We’ve done more digging on the Spotify cap table story from yesterday, and have confirmed with one source that the company did close on at least part of the new round of financing the Financial Times reported they were negotiating earlier this week.
Wellington Partners invested in the company some time prior to July 10, taking a 3.8% stake for €6.5 million, confirms our source. That implies a valuation of €170 million, or about $242 million based on today’s exchange rates. The previously reported valuation was $250 million.
So what’s new? The fact that the valuation has been locked down and the round partially closed. As of a few days ago Li Ka-Shing had supposedly not yet officially joined the round and wasn’t happy with the valuation, but was presumed to be willing to accept the independent Wellington valuation. When the round is complete, Spotify will have a post money valuation of around €200 million, says our source.
That means the company has roughly doubled in valuation from a year ago, when investors bought stock at a €100 million post money valuation. And the service hasn’t yet left beta.
Love that app!
“The previously reported valuation was $250.”
“Spotify will have a post money valuation of around €200″
Eh?
Need a copy editor?
keep thinking through it, you’ll figure it out.
Don’t you mean €200 million?
You wrote just €200, full stop.
Likewise with $250. You meant $250 million?
Need a copy editor?
“When the round is complete, Spotify will have a post money valuation of around €200, says our source.”
you gonna be ok?
Sam’s still a little shaky dude…
don’t push him.
we’ll all lose.
So good.
Li Ka-Shing threw some of his change at Facebook a few years ago too.
$250? I’d have bought them!
Arrington will keep thinking it through, figure it out.
Well, he figured out the dollar value, but not the euro value… Must be trying to calculate how to convert €200 into €200 million?
Give him a chance, it’s a very big number.
this is a pretty exciting day for you guys.
You’ve replied to my comment, it just got even more exciting.
It’s Friday night in the south of France. A little rosé and some nitpicking pedantry. The perfect evening.
the only way this company is going to make money is if it lets you sync music to your iPod/Zune for like $10.00 a month – which mark my words – it’s going to happen.
(I would like it to be $5.00 a month though)
Not Available in my country yet – (Italy) UFFFFF!!!
WOW! What a bubble!
Btw, it’s €193 million. Check ur sources.
These valuations are such a joke. Its one thing to get 3.8% at 6.5M, its a whole other thing to get someone to actually pay the full 170M. Same thing with Facebook, whos going to pay 10B for it ?
I have never used Spotify but I have heard many do and value the service, so good luck Spotify and keep us the good service.
Whatever the numbers, Spotify rocks! And it is f-a-s-t! Twitter should hire some of Spotify’s sys admins!
The app is really awesome. Best music player so far. Continue to kick ass!
According to Per Sundin (Universal) and Mark Dennis (Sony), earnings from Spotify already exceed earnings from iTunes for Universal and Sony (in Sweden).
Read more at Sweden´s Dagens Industri
http://di.se/Ny...icleID%3D200988\347737%26sectionid%3Dundefined
Can someone email me an invite to Spotify, please?
My email is andrew.bermudez at gmail dot com
I think Spotify is going to kill it in the US. I’ve been using it for about a month now and it’s basically replaced Pandora for me, except for when I’m in the car.