Bill Ackman’s SPAC drops $4B Universal Music deal over SEC scrutiny

Billionaire investor Bill Ackman announced Monday that his firm is dropping plans to use his SPAC to invest in Universal Music Group after the Securities and Exchange Commission raised questions over the deal.

Ackman announced last month that his SPAC, or special-purpose acquisition company, called Pershing Square Tontine Holdings, would buy a 10 percent stake in UMG — which is home to Drake, Taylor Swift and Billie Eilish — for $4 billion. But the billionaire investor said Monday in a letter to shareholders that his investment firm’s board had unanimously decided not to proceed with the deal after discussions with US regulators.