Ally Financial files for IPO of up to $100 million

NEW YORK (Reuters) – Bailed-out auto and mortgage lender Ally Financial plans to raise up to $100 million in an initial public offering that will allow the U.S. government to sell down its majority stake in the company.

Citigroup Inc (C.N: Quote, Profile, Research), Goldman Sachs Group Inc (GS.N: Quote, Profile, Research), JPMorgan Chase & Co (JPM.N: Quote, Profile, Research) and Morgan Stanley (MS.N: Quote, Profile, Research) were listed as the lead underwriters on the offering, Ally said on Thursday in a filing with the U.S. Securities and Exchange Commission.

The filing did not specify the number of shares to be sold in the offering, the price range, or the exchange on which the shares will trade.

The IPO will be the latest in a handful of offerings by government-rescued companies including General Motors Co (GM.N: Quote, Profile, Research) and insurer American International Group Inc (AIG.N: Quote, Profile, Research), which is preparing to sell more than $10 billion in shares in mid-May.

U.S. taxpayers bailed out Ally multiple times in 2008 and 2009, investing more than $17 billion in cash. The U.S. Treasury Department owns a 73.8 percent stake in Ally.

A source familiar with the IPO previously told Reuters Ally’s offering could raise between $6 billion and $7 billion, including common stock and convertible securities, although the filing with U.S. regulators would be for a smaller placeholder amount.

Ally’s filing comes on the same day that the Federal Reserve released the names of banks and companies that borrowed from its main emergency lending facility during the financial crisis.

(Reporting by Clare Baldwin and Alina Selyukh; Editing by Lisa Von Ahn and Derek Caney)

Ally Financial files for IPO of up to $100 million