Billionaire investor Ackman makes $64bn bid for Universal Music Group

Billionaire investor Bill Ackman's Pershing Square has made a $64.31 billion bid to acquire Universal Music Group (UMG). The offer, made on Tuesday, proposes a cash-and-shares deal valuing UMG at $35 per share, a 78% premium over its previous closing price in Amsterdam. UMG, home to artists like Taylor Swift and Billie Eilish, is expected to move its listing to New York. Ackman aims to address UMG's underperforming share price, which he attributes to factors like an underutilized balance sheet and concerns about AI disruption. UMG has declined to comment on the proposed takeover.

Universal Music Group (UMG), the world's largest music company representing artists like Taylor Swift, has received a $64.3 billion takeover offer from US investment firm Pershing Square. Pershing Square, led by Bill Ackman, proposes a merger that would list the new company on the New York Stock Exchange. Ackman believes UMG's stock price has underperformed due to factors unrelated to its music business, which this transaction aims to address. The offer includes a cash payment and shares in the new company for current UMG shareholders. Pershing Square hopes to finalize the deal by the end of the year and plans to refresh the board of directors. UMG's shares rose approximately 11% following the announcement.