Bill Ackman’s Pershing Square investment firm is considering dropping its London listing in favour of one in New York, according to reports.
The Times wrote that the high profile investor discussed the possible move in a recent meeting with analysts.
The issue that prompted this was reportedly the firm’s approximate 30% discount to its net asset value. Tapping into the New York Stock Exchange could help close this substantial valuation gap.
Hedge fund Pershing Square Holdings currently sits in the FTSE 100. As of 13 February, the firm’s shares were at 2939p for a market cap of £6.27bn. It also has a listing in Amsterdam.
While a triple listing is an option, a US listing would likely see one of the European listings dropped, with London more likely to go, according to the Times report.
Pershing Square CEO Ackman has become well known for taking large activist positions in high profile companies. Most recently this was seen with Netflix, where Ackman’s firm sold $1.1bn (£912m) of shares only three months after buying them.
Other notable activist investments made by Ackman include a position in Universal Music Group in 2021, and an involvement with dietary supplement marketer Herbalife between 2012 and 2018.
Pershing Square was founded by Ackman in 2003 and had $18.5bn (£15.3bn) of assets under management at the end of 2022.