France-based digital music company Believe has reportedly confirmed that it has taken the first step for publicly listing in its home country. With a potential listing on the European stock market, Believe has supposedly followed in the footsteps of leading music company Universal Music Group, which is prepping for its IPO in Amsterdam.
The Paris-headquartered firm has just received approval for its registration document from the French Autorité des marchés financiers (AMF) to float on the Paris Euronext, as per reports.
In a media statement, Believe announced that it is a “fast-growing and profitable” firm that made overs €728 million (~$884 million) in digital revenues in 2020. The company also said that it generated more than €441 million (~$535 million) in consolidated revenues last year.
Under the anticipated IPO, TuneCore parent Believe aims to raise around €500 million (~$608 million) to back its expansion plans. Last year, reports had estimated that a Believe IPO would take the company valuation to about €2 billion (~$2.4 billion).
Founder and Chief Executive of Believe, Denis Ladegaillerie, reportedly noted that streaming has changed how people discover music over the last decade, which has made way for the rise of independent labels and artists.
Ladegaillerie claimed that Believe is ideally situated at the core of this transformation with an exclusive model to offer solutions tailored to accommodate evolving needs of each independent label and artist, at all levels of progress, in the digital world.
Believe’s CSR strategy, Ladegaillerie added, is built around fair, respectful, and transparent talent development. This strategy is at the heart of the firm’s ambition to become the most value-added partner for labels and artists in the digital world.
This IPO would enable Believe to expedite its development and continue to follow its profitable growth trajectory in its mission to help create a better, fairer, more respectful, more diverse, and more transparent future for all artists, claimed Ladegaillerie.
According to reports, J.P. Morgan, Citi, and Société Générale have been acting as both Joint Bookrunners and Joint Global Coordinators for the potential IPO. Whereas HSBC, Goldman Sachs, BNP Paribas, and UBS have apparently been playing the roles of Joint Bookrunners. Rothschild & Co. has been acting as an independent fiscal adviser to Believe, reports suggest.