Bolloré Pushes Universal Music Group to Reject Ackman’s $64B Acquisition Proposal

Cyrille Bolloré, the CEO of Bolloré, has urged Universal Music Group to reject billionaire investor Bill Ackman's $64 billion acquisition proposal, arguing that the offer undervalues the company.

Speaking during his company's markets day, Bolloré, whose firm is the largest shareholder in Universal Music Group (UMG), stated that "the price is not there at all." Bolloré, who stepped down from UMG’s board of directors last year, criticized the financial structure of the bid.

"He is not making an offer with his own money," Bolloré said. "It is our money, the company’s money. I encourage the management of Universal Music to reject it. As far as I am concerned, it is as if it has been rejected."

Representatives for Ackman and his investment firm, Pershing Square, did not respond to requests for comment.

Bolloré's remarks are his first public comments since Ackman issued the proposal in April. Ackman previously argued that UMG’s share price "has languished due to a combination of issues that are unrelated to the performance of its music business and importantly, all of them can be addressed with this transaction."

Under Ackman’s proposal, UMG would transition its stock listing from Amsterdam to the New York Stock Exchange.

Following the proposal in April, UMG issued a statement saying the company would make no further comment until its board reviewed the offer. However, the company added that "The Board of Directors has complete confidence in UMG’s strategy and the leadership of Sir Lucian Grainge and the Company’s management team."