Spotify has raised $ 1bn in convertible debt from investors including TPG , Dragoneer Investment and clients of Goldman Sachs Group . Music-streaming site Spotify AB has raised $1 billion in convertible debt from investors, a deal that extends the money-losing company’s runway but comes with some strict guarantees, people familiar with the matter said. in order to purchase bonds that can be exchanged for stock . Spotify has indicated that it plans to go public in the next two years , but will pay annual interest on the debt at 5 % with an increase of 1 % every six months until this happens , or until it reaches 10 % . Dragoneer and TPG are expected to share in $ 750 m of the deal , with the clients of Goldman Sachs Group funding the rest . Relevance : Spotify , which operates in the same space as InternetQ 's Akazoo , is stepping up its expansion plans .
Spotify has raised $ 1bn in convertible debt from investors including TPG , Dragoneer Investment and clients of Goldman Sachs Group . in order to purchase bonds that can be exchanged for stock . Spotify has indicated that it plans to go public in the next two years , but will pay annual interest on the debt at 5 % with an increase of 1 % every six months until this happens , or until it reaches 10 % . Dragoneer and TPG are expected to share in $ 750 m of the deal , with the clients of Goldman Sachs Group funding the rest . Relevance : Spotify , which operates in the same space as InternetQ 's Akazoo , is stepping up its expansion plans .