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Ackman Proposes €55 Billion SPARC Deal for Universal Music

A controlling shareholder bloc could decide whether the premium ever reaches investors.

Overview

  • Pershing Square set out a plan to merge Universal Music with its U.S.-listed SPARC, a blank-check vehicle that issues rights to join a later deal, in a move that would shift Universal’s listing to Wall Street.
  • The proposal values Universal at about €30.40 per share, with €5.05 in cash per share and roughly 0.77 Pershing SPARC share for each Universal share.
  • Universal’s stock jumped about 11% to €19 after the offer was disclosed, which remains far below the price Pershing is pitching.
  • Vivendi’s Bolloré family holds a large stake and has a voting pact with Tencent that concentrates control, creating a major hurdle for any transaction.
  • Ackman says the market underrates Universal after a steep slide tied to AI worries, pointing to strong cash flows and €12.5 billion in 2025 revenue.