The biggest investors in Bill Ackman’s Pershing Square Tontine Holdings held on to most of their shares last quarter, even as the stock tumbled after the SEC nixed the SPAC’s plans to invest in Universal Music Group and Tontine was hit with an investor lawsuit, reports Institutional Investor.
Guggenheim, Tontine’s top investor with 22 million shares, is one that stood pat. It owns 11 percent of the SPAC, making Tontine its third-largest publicly traded equity position, according to its latest 13F filings with the SEC.
Guggenheim got in on Tontine’s IPO last summer at $20 per share plus warrants, and the stock is now trading now slightly below that level. If Guggenheim doesn’t like the deal that Ackman strikes for the SPAC, or if Ackman decides to liquidate the vehicle, Guggenheim will get out at its cost of $20 per share. Unless it has sold the warrants, it will also hold onto those. Read more.
