Taylor Swift and Drake music giant files to sell shares in US

Universal Music Group, known as UMG, is the world’s largest music company. It owns the rights to music from some of the biggest stars, including Taylor Swift, Drake, Lady Gaga, Billie Eilish, Ariana Grande, and Harry Styles. UMG is already listed on the stock market in the Netherlands, where it is valued at nearly 50 billion euros, which is about 43 billion US dollars. Now, UMG has taken steps to sell its shares in the United States, which could make the company even more valuable and give it a bigger presence in the world’s largest financial market. UMG has filed a confidential statement with the US Securities and Exchange Commission, or SEC. This means the company is starting the process to sell shares in the US, but it has not yet shared all the details with the public. Filing confidentially allows UMG to talk with the SEC and potential investors privately before making any big announcements. The company has not said how many shares it plans to sell or how much money it hopes to raise. This move comes at a time when the US stock market is doing very well. On Monday, two major US stock indexes, the S&P 500 and the Nasdaq Composite, reached new record highs. This is good news for companies like UMG that want to sell shares, because it means investors are feeling confident and are more likely to buy. One of UMG’s biggest shareholders is billionaire investor Bill Ackman, who runs a hedge fund called Pershing Square. Ackman has been encouraging UMG to list its shares in the US, saying that it would make the company more valuable and make it easier for people to buy and sell its shares. In January, Ackman wrote on social media that a US listing would help UMG’s value grow and improve trading for its shares. UMG owns several famous record labels, such as Motown Records and Capitol Music Group. Motown Records was home to legendary artists like Marvin Gaye and Michael Jackson, while Capitol Music Group has worked with the Beatles and Katy Perry. These labels have helped UMG become a powerhouse in the music industry, working with some of the most popular artists in the world. However, UMG has also faced challenges. In 2024, the company had a dispute with a major social media platform over royalties, which are payments made to artists and music companies when their music is played online. Because of this disagreement, some of UMG’s music was removed or muted on the platform for a while. Eventually, the two companies reached an agreement, and the music was restored. By selling shares in the US, UMG hopes to attract more investors and raise money to support its artists and expand its business. The company’s decision to file confidentially shows that it is being careful and wants to make sure everything is in order before making a public announcement. If the SEC approves the plan, UMG could soon be listed on a US stock exchange, giving American investors a chance to own a piece of the world’s biggest music company. This move could also help UMG compete with other global entertainment companies and continue to shape the future of the music industry.