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The world's biggest music streaming service has filed to sell its shares publicly on the New York Stock Exchange.

Spotify filed for a direct listing of up to $1bn (£730m) with the US Securities and Exchange Commission on Wednesday.

This process means the company can move towards an IPO (Initial Public Offering) without having to raise new capital or hire a bank or broker to underwrite the offering.

Spotify, which has a presence in more than 60 countries, said in its filing that it has 71 million premium subscribers and about 159 million monthly average users.

It said: "With our ad-supported service, we believe there is a large opportunity to grow users and gain market share from traditional terrestrial radio."

It adds: "Today, millions of people around the world have access to over 35 million tracks through Spotify, whenever and wherever they want.

"We are transforming the music industry by allowing users to move from a 'transaction-based' experience of buying and owning music to an 'access-based' model which allows users to stream music on demand.

"In contrast, traditional radio relies on a linear distribution model in which stations and channels are programmed to deliver a limited song selection with little freedom of choice."

According to financial statements in the paperwork, Spotify's revenue last year was €4.09bn (£3.62bn), compared with €2.95bn the previous year.

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