A special-purpose acquisition company of US billionaire investor Bill Ackerman is close to completing a merger and listing with Universal Music group (UMG) in what would be the world's largest SPAC deal to date, valuing Universal Music at about $40 billion, according to people familiar with the matter.
The SPAC transaction after the merger of Southeast Asian car-hailing software giant Grab and Altimeter Growth Corp. will be retreated to second place. The deal values Grab at more than $30 billion, according to SPAC Research.
Shares in Pershing Square Tontine Holding (PSTH), Ackerman's special-purpose buyout company, fell more than 9 per cent in after-hours trading on Thursday on the news.
French media giant Vivendi is currently a major shareholder in Universal Music, with Chinese technology giant Tencent holding holding a minority stake.