UMG Responds to Takeover Bid by Bill Ackman’s Pershing Square
The Board has “complete confidence” in the leadership of Sir Lucian Grainge
Universal Music Group (UMG) has issued a short statement acknowledging receipt of the unsolicited and non-binding proposal from Pershing Square Capital Management.
“Complete confidence”:
The statement says the Board of Directors and its advisors “will review the proposal in accordance with its fiduciary duties and analyze its implications for shareholders, employees, artists, songwriters and other stakeholders.”
It adds that the Board has “complete confidence in UMG’s strategy and the leadership of Sir Lucian Grainge and the Company’s management team.”
UMG will make no further comment on the proposal until the Board of Directors completes its review.
Shareholder support:
Late on Monday Bill Ackman’s Pershing Square Capital Management unveiled its $64 billion takeover bid of UMG.
In an investor meeting on Tuesday morning Ackman said he expects “overwhelming shareholder support” for the proposal.
He detailed a call with Bolloré Group, the company’s largest single shareholder, which responded positively to his high-level summary of the transaction.
👋 Disclosures & Transparency Block
This story was written with information from UMG’s press release and Music Business Worldwide.
We covered it because it’s news of the Pershing Square-UMG proposal.
