The French music streaming service Deezer did not have a hit with its stock market debut in Paris. The share started Tuesday at 8.50 euros, but then dropped by more than 17 percent to 6.99 euros.
Deezer had gone public by merging with the empty 12IPO company, in which the company was valued at around a billion euros. Market leader Spotify is currently worth around 24.9 billion euros. Like its competitor from Sweden, Deezer represents the reorientation of the music industry towards streaming offerings and away from buying and downloading individual albums or songs.
However, the competition is now fierce. “There are several services like Amazon Prime and Apple Music that are run by large US companies with a lot of money and strong ecosystems that can subsidize the company with other revenues and therefore are not dependent on the success of their music platforms,” he says. DZ-Bank analyst Manuel Mühl.
The company, founded in 2007, originally wanted to go public in 2015, but decided against it due to market conditions.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
