Claims

Promise · Their own work or organisation

“As a result of the above, PSTH shareholders will receive $20 per share in cash and one SPARC warrant for each share that they own.”

Bill Ackman, PSTH CEO, in investor letter · 19 August 2021 · Pershing Square Holdings, Ltd. Provides Update to Investors (Pershing Square Holdings)

PSTH shareholders will receive $20 per share in cash and one SPARC warrant per share owned, following the cash return.

Mixed Partly true and partly false in roughly equal measure.

Said for an organisation they lead or work for; it counts on both records.

What would count as true or false

Judge when PSTH returned its trust cash. The claim has two parts: (a) about $20 per share in cash, and (b) one SPARC warrant (or SPAR/subscription right) per share owned. TRUE: PSTH shareholders received about $20 per share in cash and one SPARC warrant or SPAR per share. MOSTLY TRUE: both parts were delivered, with a small difference in the cash amount (for example interest added to the $20, or a few cents less) or a minor change to the warrant terms. MIXED: only one of the two parts was delivered (for example the cash but no SPARC warrants or SPARs). MOSTLY FALSE: both were delivered only in substantially reduced form (for example clearly less cash and a fraction of a warrant per share). FALSE: neither was delivered as described.

Evidence

1. EX-99.1 - SEC.gov U.S. Securities and Exchange Commission (filed by Pershing Square Tontine Holdings, Ltd.) · 11 July 2022

   “Net of taxes, the Company currently expects the per-share redemption price for the public shares will be approximately $20.05 (as finally determined, the “Redemption Amount”).”

2. Pershing Square SPARC Holdings, Ltd. Announces Launch and SPAR Distribution Business Wire (for Pershing Square SPARC Holdings, Ltd.) · 29 September 2023 Own record

   “SPARC will be distributing 50,000,000 SPARs distributed in respect of the 200,000,000 shares of PSTH Class A common stock then outstanding, such that PSTH stockholders will receive one SPAR for every four shares of PSTH Class A common stock owned.”

3. 8-K U.S. Securities and Exchange Commission (filed by Pershing Square Tontine Holdings, Ltd.) · 24 November 2021

   “(i) 200 million SPARs in respect of shares of PSTH’s Class A common stock (or one SPAR per share of Class A common stock)”

4. Pershing Square SPARC Launch Raises Tax Questions - Akin Gump Akin Gump Strauss Hauer & Feld LLP · 24 January 2024

   “That means former shareholders of the failed SPAC PSTH (who had their $4 billion in cash returned to them in July 2022) just received”

Reasoning

PSTH's July 2022 SEC filing gives an expected per-share redemption price of about $20.05 (E1). Akin Gump confirms that shareholders had their $4 billion in cash returned in July 2022 (E4). That fits roughly $20 per share on 200 million shares, so the cash part was delivered. The warrant part was cut back: the 2021 plan was one SPAR per share (E3), but the 2023 SPARC launch distributed 50 million SPARs on 200 million shares, or one SPAR for every four shares (E2). Since the cash was delivered in full but the rights came at only a quarter of the promised ratio, the claim holds up only in part.

Cite this claim

Bill Ackman, “PSTH shareholders will receive $20 per share in cash and one SPARC warrant per share owned, following the cash return.” (said 19 August 2021). Verdict: mixed. Reliability API, claim c_50e3357c8ec4, method 0.1.0+c876030c. https://epistacklabs.com/claims/c_50e3357c8ec4