Pershing Said to Seek $1 Billion to Fund Universal Music Bet (1)

Bill Ackman’s hedge fund Pershing Square Capital Management LP is in discussions to raise $1 billion to help fund its bet on Vivendi SE’s Universal Music Group, according to people with knowledge of the matter.

The firm is set to raise the capital, which would supplement $3 billion of its own capital, via a so-called sidecar vehicle, the people said. It would represent Pershing’s seventh co-investment vehicle, and facilitate the purchase of a 10% stake in UMG, one of the people said.

A Pershing representative declined to comment.

The hedge fund last month assumed the share purchase agreement ...