Today’s acquisition of the 2.9% stake is for $1.1 billion, at a valuation of 33 billion euros ($38.7 billion), the similar valuation at which Pershing ordered its primary 7.1% stake for $2.8 billion three months ago. That primary offer, introduced Aug. 10, incorporated this solution to purchase the more 2.9%, which was exercised by PS VII currently.
UMG, which posted $2.4 billion in quarterly revenue in its latest earnings report, could be worthy of considerably far more than the 33 billion euros at which Pershing is getting in analysts propose that factoring in its net personal debt, UMG’s enterprise valuation is around 35 billion euros, whilst its investment stakes in businesses like Spotify, Tencent and Vevo push that price to 37 billion euros. Other analysts counsel that figure might be on the reduced end of UMG’s top benefit.
Vivendi has by now offered 20% of UMG to a consortium of providers led by Tencent, when on Sept. 21, Vivendi options to spin off 60% of UMG as a result of a listing on the Euronext Amsterdam trade. With the 10% now marketed to Pershing, that will go away Vivendi with a 10% stake in the most significant record firm in the earth after UMG goes public next thirty day period.