Spotify’s share price has fallen sharply over the last 15 months, reducing its market cap from $69.35bn in February 2021 to $20.34bn now.
Now CEO Daniel Ek is putting out a message about his confidence in the company’s future growth.
“I’ve always been vocal about my strong belief in Spotify and what we are building. So I am putting that belief into action this week by investing $50M in $SPOT,” he tweeted this morning. “I believe our best days are ahead… While I’m not required to disclose these purchases because of our foreign company status, I thought it was important for shareholders to know.”
Since Spotify went public, Ek has become more active as an investor in other companies, co-founding a fund called Prima Materia to back European startups in areas including clean energy, AI, healthcare and public-services tech. A €100m investment in defence tech company Helsing in 2021 sparked criticism from some artists.
We’ll await the reaction to his new investment in Spotify later today – from artists and the financial markets alike.
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Tools :: Wyng
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