Santa Monica’s Universal’s $36bn listing to bolster Bollore’s grip on music megalith



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Santa Monica’s Universal’s $36bn listing to bolster Bollore’s grip on music megalith

Vincent Bollore, 68, the French billionaire investor and CEO of investment group Bollore, would likely to retain a strong authority over the Santa Monica, California-based American global music corporation Universal Music Group as a major stakeholder following the group’s slated €30 billion spin-off on Amsterdam listing by media giant Vivendi.

In factuality, Vivendi, the French media conglomerate that owns Universal Music Group alongside China’s TenCent and Vincent Bollore, has been looking to capitalize on its most-valued jackpot slot that houses the world’s biggest music labels and singers such as Lady Gaga and Taylor Swift, through a listing in Amsterdam, as a long-wearing global media industry seemingly bounces back following a steep upsurge in streaming media revenues.

Notably, over the weekend, the French Conglomerate Vivendi had detailed a plan to distribute about 60 per cent of Universal’s capital to its existing shareholders via a stock market listing in Amsterdam as beforementioned, while the media topline had triggered fresh response from investors on Monday’s money market, as Paris-listed Vivendi shares’ prices closed out as much as 19.62 per cent higher to €31.22 after soaring nearly 21 per cent in pre-market trading, valuing the Music Group at roughly $38 billion (€31 billion).

Billionaire Bollore to retain strong influence on Universal after public listing

On top of that, according to Vivendi’s weekend proposal, at the end of IPO proceeding of Universal’s 60 per cent capital, which has still been subject to regulatory approval by a shareholder meet scheduled to take place by end-March, top three shareholders of Universal would be Vivendi with a stake of 20 per cent, a TenCent-led investment group having a stake of 20 per cent alongside Vincent Bollore’s Bollore with a stake of 16 per cent.

Nonetheless, as Bollore was controlling Vivendi by holding a 27 per cent stake, whether it has been directly or indirectly, the French billionaire would retain some 36 per cent stake in Universal, fleshing up his stance as one of the most influential man in the global music industry.

Vivendi said earlier that it would list Universal’s 60 per cent capital by early-2023, though a swathe of institutional investors were reportedly pressing the media conglomerate to make the move more quickly, mostly in a bid to take advantage of a global business landscape which has been swamped with cheap money that in effect could push Bollore to fast-track the timetable, a press media report had revealed citing unnamed sources.