DEEZER suffered a tough day yesterday as the French music streamer's debut on the Paris Euronext saw shares plunge 35 per cent.

Opening at 8.50 euros per share via a Spac with France-based SPAC I2PO, the unicorn firm's stock struggled to rally as markets raised eyebrows at how the French company could compete with Apple Music and Spotify.

Deezer, which was founded in 2007, previously considered floating in 2015, but U-turned due to tough "market conditions".

The firm had a pre-money equity valuation of around €1.1bn (£945m).

Despite Deezer's poor market reception yesterday, analysts have previously urged investors not to dump streaming shares too quickly.

City analyst Ian Whittaker told City A.M. music streaming benefitted from not having the same costs as video.

(c) 2022 City A.M., source Newspaper