UMG Rejects Pershing Square Takeover Bid
• The Board of Directors of Universal Music Group announced that it has unanimously rejected the unsolicited and non-binding proposal it received from Bill Ackman‘s Pershing Square Capital Management, L.P. on April 7, 2026, stating that the proposal “is not in the best interests of UMG, its shareholders, artists, songwriters, employees and other stakeholders.”
The statement reads, in part, “The Board has taken the time to fully assess the proposal submitted by Pershing Square. After careful review with the assistance of outside financial and legal advisors, the Board has rejected the proposal because it fundamentally and materially undervalues UMG and will not deliver superior value creation. The Board has heard from many of UMG’s shareholders and other stakeholders and believes there is a strong consensus supporting the Board’s decision.”
The statement continues, “As a company operating in a fast-evolving sector, UMG and its Board continuously assess the company’s business and financial strategy. The company recently initiated and subsequently expanded its buyback program, announced plans to monetize half of its Spotify equity stake, and announced it would provide the market with enhanced financial disclosure so that its business can be better assessed and understood. These are topics the Board and management have been considering for several months, and which will remain under continuous review.”
Sherry Lansing, Board Chair of UMG said, “UMG has built an unrivalled position in the music industry through clear vision and strong execution. The Board has full confidence in Sir Lucian and his team’s ability to deliver sustainable growth and continued value creation for all stakeholders.”
Sir Lucian Grainge, Chairman & CEO of UMG commented, “We remain committed to leading the industry by attracting the world’s top talent, deepening fan engagement globally, and driving innovation. Central to that mission is fostering an environment that champions human creativity, protects artists, songwriters, and entrepreneurs, and expands opportunities for growth and success. As we execute our strategy and deliver maximum long term value, we look forward to providing shareholders with greater insight into the drivers of our performance and future direction of our business.”
