Portions of General Motors Company may be Sold to Private Investors







17 August 2010 | posted by: Sherri Adams | No Comment

General Motors

GENERAL MOTORS

General Motors is considering selling a portion of their company to private investors. Those investors could hold enough stock in the company that could allow them to have a significant influence in the decision making of the way the company proceeds in the future. Discussions regarding selling stock in General Motors have been in the works for quite some time. Board members would be looking for some cornerstone investors that would allow them to have the financial support they need both now and into the future.

With this possibility being on the table, interested investors are closely examining and evaluating General Motors. Many of them are excited about the chance to invest in the company; however, there is plenty of criticism about the process already on a political level. Politicians worry about foreign investors having a say in what takes place within the General Motors Company. Right now it is believed that many of the cornerstone investors would be coming from China and Asia.

The goal of General Motors efforts to obtain independent financial stabilization is to generate an additional $20 billion. What many people don’t know is that 61% of the company is currently held by the United States Treasury, a result of the money they offered the company during the bailout process. It is estimated that approximately 15% of what General Motors does hold will be offered to these cornerstone investors.

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