Spotify to pay up to $196 million in cash for The Ringer

Details: Spotify said it entered a deal with The Ringer to pay between €130 million and €180 million (roughly $140 million and $196 million), subject to closing costs as well as deferred payments.

• The deferred payments are based on contingencies, like performance and whether executives from The Ringer stay with Spotify after the deal closes for an unknown period of time.

The big picture: The acquisition speaks to Spotify's massive investment in podcasting over the past year, as the company aims to expand its offering solely from music to audio, including podcasts.

• Spotify spent nearly $400 million to acquire podcast companies last year, after committing to spending at least $500 million on podcasting at the beginning of that year. This acquisition means Spotify has exceeded its upfront commitment.

Go deeper: Spotify acquires Bill Simmons' "The Ringer" to boost podcast business