Vivendi and Universal Music Group to split during €33bn Amsterdam IPO
Vivdendi’s Universal Music Group, the music company behind Lady Gaga and the Rolling Stones, will split up during its €33bn initial public offering (IPO) set to land next week.
Universal’s IPO will see it sever its ties with Vivendi, after dishing out 60 per cent of its shares to Vivdeni shareholders.
The music group’s shares will become available on the Amsterdam stock exchange on 21 September, with share prices being announced the day before.
Universal, which also represents Taylor Swift and Justin Bieber, has emerged a steady ship in the digital revolution that has swept up the music industry.
From online streaming revenues to the rebirth of vinyl records and CDs, the music giant has managed to grow its sales for six years straight – posting €7.43bn in sales last year, alongside a €1.49bn revenue.
The Amsterdam listing comes amid rising competition from music giants offering streaming services alone.
Spotify in July confirmed it had smashed expectations in its second quarter as paid subscriber numbers swelled by a fifth. The Swedish streamer’s revenue grew also 23 per cent to €2.3bn over the period.
While YouTube Music, which arrived fairly late to the streaming game, earlier this month topped 50m paid subscriptions for the first time.