GM leaves government control, taxpayers will gain $13.6 billion
11-18-2010, 07:29 AM
#1
Administrator
Thread Starter
GM leaves government control, taxpayers will gain $13.6 billion
Glad it was a success and finally over with, and look, American taxpayers have made $13.6 billion in the process too! Looks like we've turned it into a win-win situation, with General Motors now a lot stronger than it was a couple years ago.
http://news.yahoo.com/s/ap/us_gm_ipo
The last time General Motors threw a big party was two years ago, for its 100th birthday. Two months later, its CEO was before Congress, begging for bailout money. Now GM is getting ready for another celebration — this time for its future.
GM will be reborn as a public company Thursday with a stock offering, ending the government's role as majority shareholder and closing a remarkable chapter in American corporate history.
The U.S. government should make about $13.6 billion when GM shares start trading on the New York Stock Exchange. The federal Treasury is unloading more than 400 million shares of GM, reducing its stake in the company from 61 percent to about 33 percent.
The IPO could wind up as the largest in history. GM set a price of $33 per common share on Wednesday, a day after it raised the number of shares it will offer to satisfy investor demand. When the U.S. government and other owners sell their shares, they'll raise $18.2 billion. GM will raise another $5 billion by selling 100 million preferred shares at $50 each.
Together, the sale of common and preferred stock will bring the deal's value to a record $23.2 billion.
GM will be reborn as a public company Thursday with a stock offering, ending the government's role as majority shareholder and closing a remarkable chapter in American corporate history.
The U.S. government should make about $13.6 billion when GM shares start trading on the New York Stock Exchange. The federal Treasury is unloading more than 400 million shares of GM, reducing its stake in the company from 61 percent to about 33 percent.
The IPO could wind up as the largest in history. GM set a price of $33 per common share on Wednesday, a day after it raised the number of shares it will offer to satisfy investor demand. When the U.S. government and other owners sell their shares, they'll raise $18.2 billion. GM will raise another $5 billion by selling 100 million preferred shares at $50 each.
Together, the sale of common and preferred stock will bring the deal's value to a record $23.2 billion.
http://news.yahoo.com/s/ap/us_gm_ipo
11-18-2010, 08:37 AM
#2
Super Moderator
The right-winger's will still find something to complain about. Either that or they start saying it was all Bush and Obama had nothing to do with it.
