Part 3/8:
One of the key takeaways from the discussion was the distinction between a reference price and an offering price. In Spotify's case, it opened with about 55 million shares available for trading, which amounted to only a small fraction of the company’s total shares outstanding. This limited float often leads to price fluctuations, especially in an environment where investor demand plays a critical role. Given the mixed market conditions for tech stocks, Spotify’s ability to stabilize its share price post-listing was met with relief by investors.