Spotify is aiming to fend off Apple with extra £339m
Music streaming service Spotify has raised $526m (£339m) from investors globally to help fend off the threat from rival Apple in a move valuing the group at $8.5bn (£5.5bn).
Stockholm-based Spotify - which offers free streaming music and a paid-for subscription service that lets users listen to music offline without adverts - announced investments from a raft of hedge fund managers as well as Nordic telecoms company TeliaSonera as part of the mammoth fundraising.
It wants to use the cash to expand in the face of growing competition, with technology giant Apple unveiling its long-awaited music-streaming service Monday. Apple Music will launch in more than 100 countries on June 30.
TeliaSonera is paying $115m (£74m) for a 1.4% stake in Spotify, saying it will extend its existing partnership to focus on "media distribution, customer insights, data analytics and advertising".
Other investors reportedly included Goldman Sachs.