Taylor Swift at Universal Pictures’ world premiere of “Cats” in New York City.
AFP via Getty Images
Shares of Universal Music Group, the world’s largest music company, soared Tuesday on their first day of listing in Amsterdam, up 38% from their €18.5 reference price.
Vivendi, Universal Music Group’s French parent company, floated 60% of the music group in a spinoff to its existing shareholders, which also included billionaire Bill Ackman with a 10% stake, and China internet conglomerate Tencent, which acquired a 20% stake last year.
The listing Tuesday gave UMG a €45 billion market capitalization. Ackman bought his stake based on a €35 billion valuation.
Vivendi shares were trading at 15% below their Monday level in Paris after the spinoff, now giving the company a smaller valuation than its former music division.
The French group will retain a 10% stake in UMG, the company behind Lady Gaga, Taylor Swift and the Rolling Stones.
Write to Pierre Briançon at [email protected]
