Universal Music Group will sell half of its stake in Spotify, the company confirmed Wednesday while reporting its first quarter earnings, which came in flat year over year at about 2.9 billion euros ($3.3 billion) in revenue for the first quarter.

The Spotify move comes weeks after Bill Ackman’s Pershing Square had submitted an offer to buy the company, including in that proposal a plan to sell of UMG’s Spotify stake. As of 2025, UMG owned nearly 6.5 million shares in Spotify, according to UMG’s 2025 yearly report, worth 3.16 percent of the company. As of this story’s publication, an individual Spotify share is worth about $443, making a sale worth about $1.4 billion.

Aside from the Spotify move, UMG reported 2.9 billion euros ($3.3 billion) in revenue for the first financial quarter, the company reported on Wednesday, flat year-over-year though an 8 percent increase when measured in constant currency.

Recorded music revenue rose about half a percent to 1.642 billion euros (about $1.9 billion), while music publishing revenue grew at a simlar rate year over year to 552 million euros (about $645 million).

Grainge said at the top of the earnings call Wednesday that the company would not discuss Ackman’s proposal, saying UMG would provide an update at a later date. During the call, Grainge had rehashed some of the company’s strategy on AI, including partnerships with Splice and Nvidia. He’d also touted strong releases from the likes of Olivia Dean, Olivia Rodrigo and Noah Kahan among others, while also lauding a streaming surge for UMG act Justin Bieber after his much-anticipated Coachella headlining sets earlier in April.

“We delivered a solid quarter of growth in our core businesses, complemented by our strategic development and investment in fast-growing areas of the industry,” Grainge said in a statement. “We continue to build the most successful music company in history by attracting the world’s top talent, engaging fans globally, and delivering long-term value for stakeholders. Central to that mission is fostering an environment that protects artists and songwriters, champions human creativity, and embraces innovation at a pivotal moment for our industry.”

UMG CFO Matt Ellis said in a statement Thursday that its Spotify stock sale “will lead to enhanced shareholder value while maintaining the flexibility the Company requires to drive further success.”