Bill Ackman's Pershing Square Set For Record $5 Billion Closed-End Fund IPO: Report - UNIVERSAL MUSIC GRP

Billionaire Bill Ackman‘s Pershing Square is reportedly on the verge of raising $5 billion for his new closed-end ‌fund, Pershing Square USA, which is part of a combined initial public offering.

The fund will trade under the ticker PSUS, with shares priced at $50 each. Pershing Square Inc. will also start trading on Wednesday under the ticker PS. Initially, the company aimed to raise between $5 billion and $10 billion, but later settled on a $5 billion target, according to Reuters.

Investors in the new fund will receive 1 Pershing Square share for every 5 shares they buy in the new fund.

The offering was oversubscribed, with institutional investors accounting for over 85% of orders, as per the report.

Cornerstone investors are anticipated to provide $2.8 billion of the total $5 billion. Their investments will be locked in for six months, and they will receive 1.5 Pershing Square shares for every 5 shares they buy in the new fund.

Pershing Square did not immediately respond to Benzinga‘s request for comments.

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Ackman Revives IPO, Targets UMG Deal

In March, Ackman’s Pershing Square filed for U.S. IPOs of his hedge fund and a new fund. The transaction featured a dual listing structure, with both Pershing Square Capital Management's common shares and Ackman's new fund, Pershing Square USA, listed on the NYSE. This move came after a scrapped attempt to take Pershing Square USA public in 2024.

Earlier this month, Pershing Square offered to buy Universal Music Group N.V. (OTC:UNVGY) in a cash-and-stock deal worth around $64.4 billion. This proposed acquisition is expected to be completed by year-end. The deal would see Pershing's SPARC Holdings merge with UMG, and the new entity would become a Nevada corporation listed on the New York Stock Exchange.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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UNVGYUNIVERSAL MUSIC GRP U/ADR by UNIVERSAL MUSIC GROUP

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