Here’s how Universal Music Group Stock fared in its first week
After months of waiting, Universal Music Group’s first week as a publicly traded company has officially come to an end. Here is how the Big Three label behaved with investors on Euronext Amsterdam.
The Universal Music Group (UMG on Euronext Amsterdam) share became available for purchase and sale on Tuesday, September 21. Perhaps due to the initially noted anticipation surrounding the IPO – which French conglomerate Vivendi has risen several times before settling on a rollout in late September – the value of shares has skyrocketed, surging by 43% compared to Vivendi’s reference price (€ 18.50). and $ 21.68 at the current exchange rate).
But trading activity quickly cooled and UMG stock ended its first day on Euronext Amsterdam at € 25.10 ($ 29.42) apiece, just below an opening price of 25. € 25 ($ 29.59). This end-of-day value corresponded to a market capitalization of 45.51 billion euros ($ 53.34 billion) for Universal Music Group – well above the valuation at which Vivendi sold 10% of UMG to Pershing Square and a fifth of the Chinese conglomerate’s leading record label. Tencent.
On Wednesday, September 22, Universal Music Group shares fell to around € 24.50 ($ 28.72) per share, while yesterday saw a brief dip below € 23 per share. UMG shares then rebounded above € 24 ($ 28.13) each and then returned to the mid-range of € 23, where they remained at market close today.
Specifically, the Universal Music Group share was worth € 23.45 ($ 27.48) per share at the close of Euronext Amsterdam today, for a market capitalization of € 42.51 billion ($ 49.82 billion) of dollars).
Meanwhile, Vivendi confirmed earlier this week that it will distribute UMG shares to its investors on a 1: 1 basis, and the Paris-based entity’s own shares were worth € 10.98 ($ 12.87 ) per share at market close today. Additionally, the company will keep just over 10 percent of Universal Music Group for at least two years, and superiors have not been shy about disclosing their next move, a $ 610million ($ 714.92) purchase. million) of a 17.9 percent stake in Lagardère de Paris.
It should be noted in conclusion that the impact of Universal Music Group’s high-profile IPO also appears to have caused the stock price of Warner Music Group to rise, which returned to the public market last year.
Granted, Warner Music Group (NASDAQ: WMG) stock jumped nearly seven percent on the week, including hitting a record high of $ 45.64 per share on Tuesday. At market close today, Warner Music shares were worth $ 44.21 each. Amid this growth in share value, Morgan Stanley recently bought North 2.3 million WMG shares in a transaction worth over $ 100 million.