Spotify raises $1B in debt with devilish terms to fight Apple Music
Jesus Christ, that's not clickbait, those really are devilish terms. It's debt, they lose $200MM of shares at the time of IPO, and they very well could end up paying 15% interest yearly on this. And when the IPO happens, if it follows the general IPO trend and tanks at first, it's very possible TPG and Dragoneer will want to get out -- dumping 1.2 billion of Spotify onto the market and absolutely destroying the share price three months before employees can sell.Let's say they have a $8.5 billion IPO and they decide to sell: suddenly, 15% of their company was just dumped onto the market. There's no way they could survive that.