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00:02Universal Music Group's board rejected Pershing Square Capital's unsolicited $65 billion bid
00:08to acquire the world's largest music company, according to The Wall Street Journal.
00:12The board said the offer fundamentally and materially undervalues UMG and will not
00:18deliver superior value creation. Board chairman Sherry Lansing expressed full confidence in CEO
00:24Lucian Grange. The Ballore Group, UMG's largest shareholder with roughly an 18.5% stake and
00:31nearly 40% of voting rights, had urged the board to reject the offer. Pershing Square declined to
00:37comment to The Journal. Pershing Square founder Bill Ackman had proposed merging Universal with
00:42Pershing Square Spark Holdings and moving the combined entity to a U.S. listing. Ackman had
00:47previously acknowledged that without Ballore's support, no deal was possible. Universal, which
00:53works with artists including Taylor Swift, Kendrick Lamar, and Billie Eilish, has seen shares fall
00:58about 30% over the past 12 months. For all things money, visit Benzinga.com.
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