(Reuters) -Universal Music Group (UMG) said on Saturday that billionaire Bill Ackman’s Pershing Square has no right to demand the record label become a U.S.-based company or delist from Euronext Amsterdam.
Ackman had said in a post on .
Ackman said he had begun discussions with UMG, on whose board he sits, to move its listing and headquarters to the United States. But UMG — whose star roster includes Taylor Swift — said neither the company nor its board was involved in formulating the views presented in Ackman’s X-post.
“Pershing has no right to require UMG to become a US-based company or delist from Euronext Amsterdam,” UMG said in a statement.
The company said it would comply in good faith with its contractual obligations regarding a U.S. stock exchange listing, but that any actions or decisions would be made based on an analysis of what is in the best interests of all shareholders.
Ackman had said in his
UMG noted in its statement that according to its listing prospectus, Pershing has the right to apply for a U.S. listing, provided that a Pershing entity sells at least $500 million worth of UMG shares as part of the listing.
Pershing Square, an investment holding company in which Ackman and his family own a 23% stake, did not immediately respond to a request for comment on UMG’s statement.
Pershing Square is also listed on the London Stock Exchange and most trading takes place in London.
(Reporting by Chandni Shah in Bengaluru; Editing by Andrew Cawthorne and David Holmes)
