Universal Music Group said on Wednesday it would sell half of its equity stake in Spotify and double its share buyback programme, as it ​reported first-quarter revenue held back by a weaker U.S. dollar.

UMG said proceeds ​from the stake reduction would be used for the buyback ⁠and also shared with artists.

The move comes three weeks after activist investor Bill Ackman made an unsolicited $64 billion bid for UMG, arguing that the market was not fully valuing its 2.7-billion-euro Spotify stake.

Ackman proposed selling the holding and using 1.5 billion euros of the proceeds as part of the takeover's cash consideration.

UMG's board has now moved independently, approving ​a sale on its own terms rather than returning the proceeds directly ​to shareholders, as Ackman had advocated.

The decision allows UMG to honour its "Taylor Swift clause" - a commitment ‌made ⁠in 2018 when the pop star re-signed with the label on the condition that any proceeds from a Spotify stake sale would be shared with all artists on a non-recoupable basis.

UMG said it also planned to launch an additional €500 million share buyback, subject to shareholder approval at its annual general meeting, doubling its total buyback authorisation.

The board said it views the shares as undervalued relative ​to the company’s performance and prospects.

First-quarter revenue came in at ​2.9 billion ⁠euros ($3.4 billion), flat year-on-year in reported terms but up 8.1% in constant currency.

Adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) fell 3.8% to 636 million euros, but ⁠rose 3.9% ​in constant currency.

Top sellers in the quarter included ​BTS, Taylor Swift, Olivia Dean, Morgan Wallen and the K-Pop Demon Hunters soundtrack, the company said.