Billionaire investor Bill Ackman’s Pershing Square Capital Management announced on Monday the sale of a 10% common equity stake to a consortium of institutional investors and family offices for $1.05 billion, valuing the hedge fund at $10.5 billion.
Legal Counsel and Placement Agents
Pershing Square was represented by Sullivan & Cromwell LLP and Simpson Thacher & Bartlett LLP in this transaction. The placement agents — BofA Securities, Citigroup, Evolve, Jefferies, and UBS Investment Bank — were counseled by Skadden Arps Slate Meagher & Flom LLP.
Ackman’s Pershing $1B Sale: The Consortium of Buyers
The consortium includes notable investors such as Arch Capital Group Ltd., BTG Pactual Consulta Ltd., ICONIQ Investment Management, Menora Mivtachim Holdings, and an international group of family offices.
“We are delighted to invite a group of world-class, long-term partners as investors in our business, which has been entirely owned by Pershing Square employees since our inception more than 20 years ago,” Ackman stated. “This new investment will help accelerate our growth in assets under management in existing and new strategies. As always, Pershing Square will remain intensely focused on generating high, long-term returns for our investors.”
Board of Directors and Leadership Changes
Concurrent with the transaction, Pershing established a board of five independent directors alongside four affiliates from within the firm. The independent directors include:
- Kerry Murphy Healey, president emerita of Babson College
- Orion Hindawi, co-founder and executive chair of cybersecurity firm Tanium
- Marco Kheirallah, partner at Lumina Capital
- Nicholas Lamotte, executive chair of Consulta
- Christine Todd, chief investment officer of Arch Capital
The affiliate directors are Ackman (chair and CEO of Pershing), Ryan Israel (chief investment officer), Nick Botta (vice chair), and Halit Coussin (chief legal officer).
