Billionaire hedge fund manager Bill Ackman is moving forward with long-anticipated plans for an initial public offering (IPO) of his firm, Pershing Square Capital Management. According to the Financial Times, Ackman has begun discussions with advisers and has notified some investors of his intention to seek a listing potentially as early as the first quarter of 2026.
The discussions are still in the preliminary stages, and the IPO may be postponed depending on prevailing market conditions. If successful, this offering would mark a notable event in the finance sector, as it would be a rare debut for a large hedge fund management firm. Reports from the Wall Street Journal indicate that Ackman is considering a unique double IPO, aiming to list a new investment fund alongside Pershing Square.
A spokesperson for Pershing Square opted not to comment on the ongoing discussions. Over the past few years, Ackman has laid the groundwork for this significant market entry. In 2022, he sold a stake in Pershing that valued the firm at over US$10 billion (approximately £8 billion), setting the stage for the potential IPO. Insights from insiders suggest that the IPO could have been initiated as early as late 2025.
Ackman, who is now 59 years old, gained recognition as an activist investor with a strong presence on social media and a strategy focused on concentrated investments in a limited number of stocks. His net worth stands at approximately $8.4 billion, according to the Bloomberg Billionaires Index.
Most of Pershing Square’s assets are held in Pershing Square Holdings Ltd, a closed-end fund listed in London. As of the end of October 2023, this fund managed $19.3 billion and held 15 positions, yielding returns exceeding 17 percent for the year.
In 2022, Ackman announced plans to list a similar fund on the New York Stock Exchange named Pershing Square USA Ltd. His goal was to raise up to $25 billion, but the listing was paused after attracting around $2 billion.
Additionally, in May 2023, Pershing Square solidified its stake in Howard Hughes Holdings Inc., increasing its ownership to nearly 47 percent. This strategy aims to transform the real estate company into a larger entity with significant stakes in both public and private businesses. Ackman likened this approach to the successful model developed by Warren Buffett at Berkshire Hathaway, which has effectively utilized insurance company holdings to secure low-cost capital for diverse investments.
As the discussions about the IPO evolve, market participants will be closely monitoring Ackman’s next moves, especially given the potential impact on the hedge fund industry and broader financial markets.
