William Ackman drastically reduces IPO targets

The billionaire investor William Ackman appears to have significantly scaled back his ambitions for the IPO of his investment vehicle in New York—at least in terms of the targeted capital amount. According to a regulatory filing submitted on Tuesday, the company Pershing Square USA, which is set to debut on the New York Stock Exchange next week, plans to raise $2 billion through the sale of shares. This is far from the $10 billion or more that Ackman had initially set his sights on earlier this year. In recent months, he had even suggested a larger sum of $25 billion during investor meetings. However, the $2 billion is merely a placeholder, and it is possible that Pershing Square USA will raise more capital if investors submit their orders by Monday evening, according to a person familiar with the matter who wished to remain anonymous due to the confidential nature of the details. Ackman is now expected to ring the famous bell at the NYSE the following Tuesday morning before trading in the shares begins, the same person further disclosed. However, the timing could still change, the source said. The path to the stock exchange has been bumpy for Ackman and Pershing Square USA. Trading of the fund was originally planned for Tuesday morning but was postponed because the Securities and Exchange Commission needed to review a letter that Ackman had privately sent to some of his company's existing investors.