Universal Music Group’s board unanimously rejected an unsolicited $65 billion takeover bid from Bill Ackman’s Pershing Square Capital Management.
The board determined the April proposal fundamentally undervalues the company and its stakeholders.
Major shareholders supported the decision following a comprehensive financial and legal review.
Cyrille Bolloré, CEO of top shareholder Bolloré Group, publicly labeled the valuation and funding structure inadequate.
This rejection marks a major setback for Ackman’s long-term pursuit of the world’s largest music company.