Jun 3, 2024 - Business

Bill Ackman's firm sells 10% stake for over $1 billion

Photo illustration of Bill Ackman in front of giant pile of money and a trend line

Photo illustration: Sarah Grillo/Axios. Photo: Sylvain Gaboury/Patrick McMullan via Getty Images

Pershing Square Capital Management, the investment firm led by Bill Ackman, on Monday announced that it's sold a 10% equity stake for $1.05 billion to an investor consortium.

Why it matters: This is a precursor, albeit not a prerequisite, for Ackman seeking to take his firm public in the next couple of years.

  • The deal provides Pershing Square with a long-term shareholder base.
  • It's also being done in conjunction with the formation of an independent board of directors and the naming of Ben Hakim as firm president.

Investors include Arch Capital Group, BTG Pactual, Consulta Ltd., Iconiq, and Menora Mivtachim.

The bottom line: Ackman came to prominence as a pugilistic activist investor, but has been quietly reorienting Pershing Square as more of a long-term asset manager that would be more appealing to the public markets.

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