The company behind some of the biggest names in music - from Taylor Swift and Bad Bunny to The Beatles - could soon fall into the hands of a Wall Street billionaire.
Hedge fund boss Bill Ackman has launched a bold $64billion bid to take over Universal Music Group, the world's largest record label with a grip on more than 30 percent of the global music market.
The shock move would see the label merge with Ackman's investment vehicle, Pershing Square Sparc Holdings, and shift its stock market listing from Amsterdam to the New York Stock Exchange.
Universal's roster reads like a who's who of global music, with artists including Taylor Swift, Bad Bunny, Kendrick Lamar, Elton John, Billie Eilish and Coldplay all under its umbrella.
That gives the company huge influence over everything from what songs get promoted on streaming platforms to how much fans pay for subscriptions, concert tie-ins and merchandise.
If Ackman pushes for higher profits - as activist investors often do - it could lead to tougher negotiations with streaming services like Spotify and Apple Music, possibly resulting in higher prices or fewer perks for listeners.
Fans could also see more exclusive releases and premium packages designed to squeeze more money out of superfans.
Ackman, who has publicly backed President Donald Trump in the past, is known for making aggressive bets on companies he believes are undervalued.
The company behind some of the biggest names in music - from Taylor Swift and Bad Bunny to The Beatles - could soon fall into the hands of a Wall Street billionaire.
Hedge fund boss Bill Ackman has launched a bold $64billion bid to take over Universal Music Group, the world's largest record label with a grip on more than 30 percent of the global music market.
The shock move would see the label merge with Ackman's investment vehicle, Pershing Square Sparc Holdings, and shift its stock market listing from Amsterdam to the New York Stock Exchange.
Universal is considered one of the 'big three' record labels alongside Warner Music Group and Sony Entertainment - sitting on 30 percent of the global recorded-music business.
Ackman says the company is undervalued. He says the share price - down 23 percent this year - has 'languished' for reasons unrelated to the strength of its music business and that the gap can be closed through the takeover.
A deal would mean Swift faces another shake-up involving her music, years after she claimed that Scooter Braun acquired the rights to her early recordings without her consent.
The feud erupted online in 2019, when Swift wrote on Tumblr that Braun, who fans on Reddit claim is friends with Ackman, gained control of her master recordings, calling it 'my worst-case scenario.'
Although Swift hasn't commented on Ackman's moves, fans are already speculating that she might leave the company, noting her past criticism of private equity interfering with music ownership.
One Reddit user wrote: 'I wouldn't be shocked if at the end of her contract she starts her own label.'
Another Swiftie on X wrote: 'Now is the time for Taylor Swift to create her own label and home for artists who care about their music. Private equity couldn't give a damn about it.'
Swift owns her own masters under her current contract with UMG, valued at around $360million, so the corporate changes would likely have little impact on her creative control.
Now, Swift could face another shake-up involving her music, years after she claimed that Scooter Braun's former company, Ithaca Holdings, acquired the rights to her early recordings without her consent.
Ackman's buyout offer is a mix of cash and stock, and it hazards a few guesses about the company's future.
Universal's major shareholders would need to sign off, with at least two-thirds approval required for the takeover to go ahead.
The stock currently trades at $35.15, valuing the company at over $63billion.
But the real value of the deal depends on a raft of complicated business maneuvers that may or may not pan out.
The new entity would take on billions of new debt to buy back 17 percent of the outstanding shares.
The new company would appoint a new board of directors, including former Disney chief Michael Ovitz.