Bill Ackman's IPO of Pershing Square closed-end fund is postponed, NYSE says

Billionaire capitalist Bill Ackman is postponing the highly scrutinized listing of Pershing Square's U.S. closed-end fund, according to a announcement connected the New York Stock Exchange's website.

The archetypal nationalist offering of Pershing Square USA Ltd., with the ticker PSUS, has been delayed until a day to beryllium announced, according to the website. Ackman is present looking to rise $2.5 cardinal to $4 cardinal for the fund, good abbreviated of the $25 cardinal people from a fewer weeks ago, according to a regulatory filing dated Thursday.

Pershing Square declined to remark further. The steadfast issued a statement "to clarify property reports," saying that it is proceeding with its archetypal nationalist offering "with the day of the pricing to beryllium announced."

Closed-end funds merchantability a acceptable fig of shares during their IPO, and they commercialized connected marketplace exchanges aft their debut. The terms of the money does not needfully lucifer the shares' nett plus value, truthful the money whitethorn commercialized astatine a premium oregon a discount.

"There is tremendous sensitivity to the size of the transaction," Ackman said successful a July 24 missive to investors that was included successful the filing. "Particularly successful airy of the novelty of the operation and closed extremity funds' precise antagonistic trading history, it requires a important leap of religion and yet cautious investigation and judgement for investors to admit that this closed extremity institution volition commercialized astatine a premium aft the IPO erstwhile precise fewer successful past person done so."

Pershing Square had $18.7 cardinal successful assets nether absorption astatine the extremity of June. Most of its superior is successful Pershing Square Holdings, a $15 cardinal closed-end money that trades successful Europe. Ackman is seeking to connection a akin closed-end fund listed connected the New York Stock Exchange, a determination that could pave the mode for an IPO of his absorption company.

The nationalist listing of Ackman's money is seen arsenic a determination to leverage his pursuing among Main Street investors aft helium accumulated much than 1 cardinal followers connected societal media level X, commenting connected issues ranging from antisemitism to the statesmanlike election. The publically traded closed-end fund is expected to put successful 12 to 24 large-cap, investment-grade, "durable growth" companies successful North America.

In the roadshow presumption that helium made public, Ackman highlighted the situation successful managing accepted hedge funds that investors tin yank their wealth retired of immoderate time, which tin effect successful changeless fundraising and soothing of investors. The vantage of managing imperishable superior is that it makes him much focused connected the portfolio and gives him the quality to instrumentality a semipermanent attack successful investments.

"If you privation to beryllium a semipermanent capitalist successful businesses, the situation of managing a portfolio wherever wealth tin travel and mightiness spell is significant. Action tin person a important antagonistic interaction connected one's returns," Ackman said.

— CNBC's Leslie Picker contributed reporting.