Ackman invests 64 billion to buy Universal Music. Is Universal Music now a bottom-fishing opportunity!?

Wall Street’s most high-profile hedge fund manager has just made a $64.0 billion acquisition offer to the world’s largest record label.

On the surface, it looks like a classic contrarian bargain in the midst of AI panic: Universal Music is down 45% over six months, and its market value has shrunk from €46.0 billion to €31.4 billion. At a time like this, Ackman pulls out $64.0 billion to acquire everything—everyone calls it a bargain buy.

But when you break down the details of the Pershing Square proposal, you’ll find that what Ackman plans to do has little to do with a “bargain buy.”