Only bigger platform would prompt Spotify owner Ek to sell: DN

Reuters News
Posted: Jun 04, 2015 3:39 PM

STOCKHOLM (Reuters) - Daniel Ek, founder of Spotify, would only consider selling the online music streaming service if it meant a bigger platform for its music, he told Swedish daily Dagens Nyheter.

Unlisted, Stockholm-based Spotify, which provides free on-demand music or ad-free tunes for paying customers, faces competition from the likes of Apple and YouTube and was reportedly valued at about $8 billion recently.

"We want to go further with our platform," Daniel Ek told Dagens Nyheter in a rare interview. "The only case where we would be interested in selling the company is if someone would offer the possibility of a larger platform."

Spotify, which saw revenues leap 45 percent to top 1 billion euros ($1.1 billion) last year, recently announced it would soon provide video content from musicians, news organizations and TV networks..

The company, which said earlier this year it had reached 15 million subscribers and 60 million active users, does not disclose details about its ownership but Ek and co-founder Martin Lorentzon have sold stakes and no longer own a majority.

"I really don't know anymore how many shares I own, but it's still a lot, so I'm looking at how to further develop the company," Ek said.

($1 = 0.8890 euros)

(Reporting by Johan Ahlander; editing by David Clarke)