Universal Music scores high on stock market debut
Shares of Universal Music Group soared during the company’s Amsterdam stock exchange debut on Tuesday, as investors jumped at the opportunity to invest in one of the industry’s biggest players music as service revenues continue to grow.
Shares of Universal Music Group were trading just below € 25 (around $ 29) on Tuesday morning – around 35% above the benchmark price of € 18.5 ($ 22) – after the company was listed on the Euronext Amsterdam stock exchange.
The company was valued at $ 39 billion the day before it went public.
At current prices, the company is valued at 44.5 billion euros (approximately $ 52.2 billion).
Universal is separated from French media group Vivendi, which was down around 13.6% on the Paris stock exchange on Tuesday.
Vivendi will retain a 10% stake and 60% of the shares will initially be distributed to its shareholders, according to the documents, the remainder having been previously sold to the hedge fund Pershing Square of Bill Ackman (10%) and to a consortium led by the Chinese giant. of technology. Tencent (20%).
Universal is a true titan of the music industry and considered one of the “big three” record companies, alongside Warner and Sony. It operates worldwide and has a roster of stars including Taylor Swift, Queen, The Beatles, ABBA, Lady Gaga, Bon Jovi, Eminem, Ariana Grande and Katy Perry. Its success underscores the spectacular return of the music industry as the rise of streaming offsets still declining record sales.
Universal Music shares soar on market debut (WSJ)
Universal Music: How Much is the World’s Biggest Label Worth? (FT)
Recorded music revenue hits $ 12 billion in 2020 amid pandemic streaming boom (WSJ)