Bill Ackman is urging Universal Music Group to shift its stock listing from Europe to the U.S., arguing it would unlock greater value and attract more investors.
USA – Billionaire investor Bill Ackman is urging Universal Music Group (UMG) to consider moving its stock listing from the Netherlands to the United States, arguing that it could unlock greater value for shareholders. Ackman, whose hedge fund Pershing Square Capital Management owns a significant stake in UMG, has made his case in a letter to the company’s board, highlighting the potential benefits of a U.S. listing.
Currently, UMG’s shares are traded on the Amsterdam Stock Exchange, following its spin-off from French media conglomerate Vivendi in 2021. However, Ackman believes that moving the listing to the U.S. — where the music industry is predominantly based — could increase the company’s visibility and access to a larger pool of investors. He points to the stronger market for entertainment and tech stocks in the U.S., along with the potential to benefit from the higher liquidity and valuation typically seen on American exchanges.
Ackman’s proposal is part of a broader push to improve UMG’s market performance. He has been an advocate for better capital allocation and more shareholder-friendly policies within the company. As one of the world’s largest music companies, UMG controls a significant portion of the global music catalog, with artists ranging from Taylor Swift to Drake and The Weeknd.
While it remains unclear whether UMG will follow through on Ackman’s recommendation, the move could set a precedent for other European-listed companies to consider U.S. exchanges as a more lucrative option. The decision would require careful evaluation, including regulatory considerations and potential impacts on the company’s European operations.
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