When I wrote that article on PSTH stock, its price closed at $28.40. It had a 52-week high in February at $34.10. I think this sell-off as of March is fully justified. After all, Pershing Square Tontine differed from most SPACs by pricing at $20 and not $10. Without revenue, any price above $20 suggested an overvalued stock with high risks. So it makes complete sense now that the current price of PSTH stock hovers around $20. But there are others reasons for the selloff in PSTH stock too. Let’s get into them.
For a while, Pershing Square was in negotiations with Vivendi (OTCMKTS:VIVHY), the owner of Universal Music Group, to buy a stake in the company. But the deal fell through. The reason behind this failed attempt was explained in a letter to the shareholders. What stopped this merger was the SEC.
