Coca-Cola planning to buy Spotify stake

Last Updated: Thu, Oct 11, 2012 05:20 hrs

Coca-Cola is reportedly planning to buy a stake in digital music company Spotify.

Coke is in discussions about acquiring a shareholding worth about 10 million dollars in Spotify, which is in the process of raising funds expected to value the company at roughly 4 billion dollars.

According to Sky News, at that valuation, a ten million dollar investment would give Coca-Cola a negligible stake in Spotify.

People familiar with the matter have said that the discussions between Coca-Cola and Spotify are not yet complete, but are likely to be in the next few weeks.

According to the report, under the terms of the deal reached between the two companies earlier this year, Spotify will provide the underlying technology for Coca-Cola's music platforms across the globe.

The soft drink maker is also integrating Spotify into its Facebook presence and timeline, in an attempt to tap into its Facebook nearly 40 million fans, the report said. (ANI)

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