Billionaire Bill Ackman's Pershing Square Revises Bid for Howard Hughes Holdings
Pershing Square, led by billionaire investor Bill Ackman, has submitted an updated offer to acquire 10 million newly issued shares of Howard Hughes Holdings (HHH) at $90 per share. Upon completion, Pershing Square would own approximately 48% of HHH's outstanding stock.
As part of the agreement, Ackman would assume the roles of Chairman and CEO of HHH. In a statement, Ackman outlined his vision for the company: "We will leverage Pershing Square's resources to transform HHH into a diversified holding company, akin to a modern-day Berkshire Hathaway."
This revised bid follows Ackman's initial proposal in January, which sought to acquire 11.8 million shares at $85 per share. HHH shares reacted positively to the announcement, surging 6% in afternoon trading. However, shares declined approximately 4% in after-hours trading following the release of specific deal details.
Ackman draws inspiration from Warren Buffett's approach with Berkshire Hathaway, which involves acquiring controlling stakes in high-quality private and public companies. "We will adopt similar long-term, shareholder-centric principles to Berkshire, with the intention of holding HHH shares indefinitely," Ackman emphasized.
Pershing Square's portfolio currently includes investments in Brookfield (BN), Restaurant Brands (QSR), Chipotle (CMG), Howard Hughes, and Uber. Ackman will host a Q&A session for investors regarding the proposed deal at 9 a.m. ET on Wednesday.