Bill Ackman’s Pershing Square Plans Sale of UMG Stake
The news comes days after UMG rejected its $64B takeover bid
According to Music Business Worldwide (MBW), Bill Ackman’s Pershing Square is planning to sell around 80.6 million shares in Universal Music Group, effectively exiting its stake in the company.
All or nothing:
On April 7, Pershing Square tabled a non-binding takeover proposal of UMG, valuing the company at €55.8 billion ($64.4 billion).
On May 29 UMG’s Board of Directors rejected the proposal, stating it was “not in the best interests of UMG, its shareholders, artists, songwriters, employees and other stakeholders.”
Valuation:
According to Digital Music News, via various Pershing funds Ackman currently owns roughly 4.74% of UMG’s stock, equating to around 87 million shares.
MBW quotes Bloomberg in stating that the sale of Pershing Square’s UMG shares could raise around €1.5 billion.
No comment:
Pershing has yet to comment on the rumored sale.
👋 Disclosures & Transparency Block
This story was written with information from Music Business Worldwide and Digital Music News.
We covered it because it’s news relating to the Pershing-UMG deal.
