Universal Music Group has rejected an unsolicited proposal from Pershing Square Capital Management, saying the offer significantly undervalued the music giant and failed to serve the best interests of shareholders and stakeholders.
UMG said its Board of Directors unanimously decided against the non-binding proposal submitted by Pershing Square on April 7 after consulting financial and legal advisers. The board said there was strong support from shareholders and other stakeholders for the decision.
In April, Pershing Square had proposed a cash-and-stock offer through its acquisition vehicle, valuing Universal Music at around €30.40 per share and making the deal worth €55.75 billion ($65.03 billion).
Board Chair Sherry Lansing said the company remains confident in its long-term strategy and leadership under CEO Lucian Grainge.
“UMG has built an unrivalled position in the music industry through clear vision and strong execution,” Lansing said, adding that the board believes the company can continue delivering sustainable growth and value creation.
The company emphasized several recent strategic initiatives, including an expanded share buyback program, plans to monetize half of its equity stake in Spotify, and commitments to provide investors with greater financial disclosure.
UMG also highlighted its recent business performance since listing publicly in 2021. According to the company, revenue has grown by 60% while adjusted EBITDA has increased by nearly 70%. The company said it achieved a 33% share of the recorded music market in 2025 — its highest level in 12 years — alongside a record 24% share in music publishing.
Grainge said UMG remains focused on attracting top talent, strengthening fan engagement globally, and supporting human creativity in an evolving digital environment.
source https://www.investing.com/news/stock-market-news/universal-music-rejects-bill-ackman-pershing-squares-65-bln-buyout-offer-4717171
