Investing.com -- Bill Ackman’s Pershing Square Capital announced its decision to reduce its stake in Universal Music Group (AS: UMG ). Despite the sale, UMG continues to hold the largest position in Pershing Square’s portfolio.

Pershing Square reported that UMG was their largest holding at the start of the day, accounting for approximately 27% of their capital. Following the sale, UMG still constitutes around 17% of the firm’s portfolio, maintaining its position as the largest holding.

The decision to sell a portion of UMG comes after the company’s impressive performance. UMG has significantly outperformed most of Pershing Square’s portfolio this year, attributing to its strong recent results.

The management team at UMG, led by SLG, received praise from Pershing Square for their exceptional work in growing the company. Ackman stated his belief that UMG is one of the best businesses they have ever owned.

In late 2021, Pershing Square exercised its registration rights to ensure UMG obtains a listing on a major U.S. exchange later this year. The firm believes that this move will be extremely beneficial for UMG.

In an environment of uncertainty, Ackman expressed comfort and profitability in owning a royalty on music with UMG, considering it to have the best management team in the industry.

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