Universal Music Group Responds to Bill Ackman's Proposal

(Reuters) – Universal Music Group (UMG) stated on Saturday that billionaire Bill Ackman's Pershing Square cannot require the record label to become a U.S.-domiciled company or delist from Euronext Amsterdam.

Ackman announced on X that he would seek to delist Pershing Square, which holds a roughly 10% stake in UMG, and move the record label from Amsterdam due to recent attacks on Israeli soccer fans.

He indicated that talks had begun with UMG about relocating its listing and headquarters to the U.S. However, UMG, which counts Taylor Swift among its artists, clarified that neither the company nor its board was involved in shaping Ackman’s statements.

“Pershing does not have any right to require UMG to become a U.S. domiciled company or delist from Euronext Amsterdam,” UMG stated.

The company asserted it will comply with its U.S. listing contractual obligations in good faith, making decisions based on what is best for all shareholders.

Ackman claimed a contractual right to move UMG's listing to the U.S. by next year. UMG noted that according to its listing prospectus, Pershing can request a U.S. listing provided a Pershing entity sells at least $500 million of UMG shares.

Pershing Square, in which Ackman and his family own a 23% stake, has not yet responded to UMG's statement. It is also listed on the London Stock Exchange, where most trading occurs.