Pershing Square, led by billionaire investor Bill Ackman, has proposed a transformative merger between its acquisition vehicle and Universal Music Group (UMG) to relocate the world’s largest music label’s primary listing to the New York Stock Exchange.
The non-binding proposal, announced Tuesday, seeks to merge Pershing’s SPARC Holdings with UMG to create a new entity tentatively named Nevada Corporation.
The deal values Universal Music at approximately 30.40 euros per share, representing a substantial 78% premium over its previous closing price of 17.10 euros.
According to Reuters calculations, the transaction values the entertainment giant—home to global superstars including Taylor Swift, Billie Eilish, and Drake—at roughly 55.75 billion euros ($64.31 billion).
Shares of Amsterdam-listed UMG jumped 13% in early Tuesday trading following the news, while top shareholder Bollore Group saw its shares rise 6%.
Pershing Square currently holds a 4.7% stake in UMG, making it the company’s fourth-largest shareholder.
The proposal comes after UMG recently delayed its own plans for a U.S. listing, a decision that initially caused friction with Pershing Square.
By proposing this merger, Ackman is effectively forcing the issue of a New York relisting, which he believes is essential for UMG to achieve a valuation comparable to other U.S. media and tech giants.
Pershing Square indicated it expects the transaction to close by the end of 2026, pending board approval and regulatory clearances.