SAIC Motor Corp. is “closely watching the progress” of the initial public offering of General Motors Co. as it is in talks to purchase a stake. SAIC’s spokeswoman Judy Zhu said, “As a strategic partner of GM, SAIC wishes the success of the GM IPO.”
Reuters reported on Sept. 18 that according to its sources, SAIC, GM's partner in China, is in talks to buy a stake.
It’s likely that GM's IPO will be open to overseas investors as the US Treasury aims to cut its stake in the company.
A statement posted on a government web site said that it’s expected that investors will be “sought across multiple geographies with a focus on North American investors.” Shares will also be offered to retail and institutional investors.
A 61% stake in GM is currently held by the US Treasury following a $50 billion taxpayer bailout in relation to GM filing for bankruptcy protection in June 2009. In an e-mailed statement, Shanghai-based GM spokesman Mike Albano declined to comment.
The IPO was filed in August. Well, we know who won’t be investing in GM. At a plant opening in Zhengzhou, central China, Carlos Ghosn, the head of the Renault SA-Nissan Motor Co. alliance, said that he isn’t interested in investing in GM. [via autonews - sub. required]