Ontario government plans to sell remaining stake in GM

Article by Christian Andrei, on April 15, 2014

Ontario is planning to sell its remaining stake in General Motors Co. in 2015 as part of a review of its state-owned assets. Finance Minister Charles Sousa remarked that some states assets may no longer serve a public good, like the province’s shares in GM. Sousa quipped that the government will assess market conditions and sell its GM stake when appropriate over the next year or so.

The province will also evaluate its liquor monopoly, known as the Liquor Control Board of Ontario as well as utilities Hydro One Inc. and Ontario Power Generation Inc. Ontario will create a panel to advice on its state-owned assets, which would be led by Ed Clark, chief executive of Toronto-Dominion Bank.

The Canadian and Ontario governments agreed in September to sell 30 million GM shares valued at around $1.1 billion to Bank of America Corp. and Royal Bank of Canada in a block trade. That cut their stake in GM by 21 percent to 110 million shares.

Sousa said that to maximize the value of state-owned assets to the province, they will explore measures like efficient governance, growth strategies, corporate reorganization, mergers, acquisitions, and public-private partnerships.

He added that the council will prefer to continued government ownership of all core strategic assets. The Canadian and Ontario governments in 2009 contributed over C$10 billion ($9.13 billion) to a bailout fund to keep GM afloat, becoming major shareholders at the carmaker.

Topics: gm, shares

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

In Japan, Toyota stays in the limelight by always cooking up something new for its famous 86 sports car. A colour orange Toyota 86 performance edition is one that’s hard...
by - December 4, 2016
Back in 2009, Nissan first introduced the Nissan Leaf, the company’s first all-electric vehicle. LEAF stands for Leading Environmentally-friendly Affordable Family car and this particular EV has been considered as...
by - December 3, 2016
In the minivan segment, the 2017 Chrysler Pacifica is already impressive in terms of fuel economy figures – as rated by the United States Environmental Protection Agency. In fact, the...
by - December 2, 2016
Having a blacked-out Bentley Mulsanne Speed is already menacing by itself but by naming it as the Bamford X, it became all the more imposing. This model was made by...
by - December 2, 2016
We have good news for those who are waiting for the latest version of the Mazda CX-5 compact crossover. It was just unveiled in November at the 2016 Los Angeles...
by - December 2, 2016
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries