Treasury says agrees to be shareholder in GM IPO

WASHINGTON (BestGrowthStock) – The U.S. Treasury Department said on Wednesday it has agreed to be named as a selling shareholder in General Motors’ initial public offering, and will retain the right, at all times, to determine its level of participation in the IPO.

The Treasury — which owns 60.8 percent of GM’s common stock and $2.1 billion of its Series A preferred stock — said the IPO would not include any of the government’s preferred stock.

The government did not indicate its future plans to fully shed its stake in the automaker.

GM on Wednesday afternoon filed with regulators for an IPO worth up to $100 million, clearing a key hurdle toward repaying taxpayers for a controversial bailout just over a year after its bankruptcy.

(Reporting by Karey Wutkowski; Editing by Neil Stempleman)

Treasury says agrees to be shareholder in GM IPO