By Aimee Look

Shares in Universal Music Group shareholders Vivendi increased nearly 10% and Bollore rose 5.6%, after Bill Ackman's Pershing Square made a bid to for the record label.

Bollore Group, controlled by the family of French billionaire Vincent Bollore, holds a stake of roughly 18.5% in Universal. It is also a shareholder in media conglomerate Vivendi, which commands a stake of about 10% in Universal, according to the music company's latest annual report.

Shareholders will have the option to take new shares of Universal, or receive all cash, all stock, or a mix of stock and cash consideration in the deal, Pershing Square wrote in a letter.

The cash consideration aspect of the deal intends to eliminate overhang by giving shareholders, including Bollore Group, enough cash to meet their needs, the letter said.

Pershing Square's bid seems to be designed to provide an exit to Bollore, according to a note from Panmure Liberum.

Shares in Universal Music were up 13.2% in early morning European trading.

Bollore Group was not available for comment. Vivendi declined to comment. Universal didn't reply to a request for comment.

Write to Aimee Look at aimee.look@wsj.com

(END) Dow Jones Newswires

April 07, 2026 05:07 ET (09:07 GMT)

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