Overview
- Pershing Square USA, priced at $50, closed at $40.93 after Wednesday’s debut in an 18% drop from the offer price.
- On Thursday Ackman blamed retail investors for forced selling as PSUS rebounded about 6% to $43.54, still below the IPO price.
- The offering created two NYSE listings, closed-end fund Pershing Square USA (PSUS) and management company Pershing Square Inc. (PS), with one PS share granted for every five PSUS shares bought in the IPO.
- The $5 billion raise set a U.S. record for a closed-end fund IPO and drew more than 85% institutional orders, including a $2.8 billion private placement.
- The fund will mirror Ackman’s concentrated bets in roughly 12 to 15 large North American stocks and will charge only a management fee, testing whether a giant closed-end vehicle can gain lasting support despite typical discounts to asset value.