P&A Providers & Administrators
MenuMENU
SearchSEARCH

GM Calls a Financial Summit in Preparation for IPO

June 24, 2010
3 min to read


General Motors Co. has invited financial analysts, potential investors and other members of the financial community to Warren next week to review its business performance ahead of an initial public stock offering expected late this year, reported The Detroit News.


The June 29 meeting at GM's Technical Center will focus on the automaker's progress since emerging from bankruptcy last summer.

Ad Loading...


GM will provide updates from each of its four global regions. Vice Chairman and Chief Financial Officer Chris Liddell will host the meeting, and Vice Chairman Steve Girsky will talk about the new GM.


Tom Stephens, vice chairman of global product operations, will review fuel economy and technology improvements.


The meeting comes as GM prepares to file, as early as next week, a detailed statement outlining its proposed initial public offering that will reduce the U.S. government's 60.8 percent stake in the company. The sale could take place before the November election.


"It's been a while since we've engaged with this community," GM spokeswoman Noreen Pratscher said.


An IPO will allow GM to again be a publicly traded company, the first step toward the government selling its ownership stake.

Ad Loading...


Bloomberg News, citing unidentified sources, reported Wednesday that GM. is preparing to sell 20 percent of the Treasury's 304 million shares, which would reduce its stake to below 50 percent.


Final decisions on which owners will sell how many shares haven't been made and may change, Bloomberg reported.


Some Wall Street analysts predict the government will sell a third of its stake -- roughly 100 million of its 500 million GM shares -- in an initial sale.


That first sale could raise between $10 billion and $15 billion or more, which would put it among the three largest IPOs in history.


One Treasury official said a GM stock sale could raise more than $20 billion and become the largest IPO in history.

Ad Loading...


Members of the financial community also will test drive GM vehicles during the meeting.


Also Wednesday, GM said it is in talks with financial institutions to provide more loans and leases for customers with bad credit -- a move that could boost sales and market share.


The discussions mean GM is less likely to try buying back part of its former GMAC financing unit, now called Ally Financial Inc., or create its own finance division.


"We are developing relationships with other financial sources on a selective basis for specialized financing needs, such as leasing and sub-prime financing," GM spokesman Tom Wilkinson said.


Next week's get-together in Warren could be timed to coincide with GM filing the IPO registration statement, speculated auto analyst Joe Phillippi of AutoTrends Consulting in Short Hills, N.J.

Ad Loading...


"It's about spin," Phillippi said. "GM wants to get its story out. This is the first go-'round with the road show."


The registration statement also will announce that Morgan Stanley and JPMorgan Chase & Co. will be lead underwriters for the sale of part of the government's stake.


The registration statement will include detailed financial information about GM.


It also will likely indicate how much stock the government is willing to sell, and how many shares can be sold to the underwriters, which can profit by selling them.

More Industry

Photo of gray SUV plugged into public electric-vehicle charger in parking lot
Industryby Hannah MitchellJuly 21, 2026

World EV Adoption Set to Grow

A new report says the segment, despite recent setbacks in some regions, is poised for acceleration as many countries look to reduce pollution.

Read More →
Bar chart of truck and SUV segments' weekly value change
Industryby StaffJuly 21, 2026

Black Book: Weekly Market Update

Wholesale automotive auction business stayed steady last week as bidders encountered lower prices, analysts observed.

Read More →
laptop with blue car on screen on a shopping website, Clear Costs Convert
Industryby Lauren LawrenceJuly 21, 2026

Pricing Transparency Drives Purchase Consideration

An annual study by JD Power found that clear pricing matters to consumers on automaker websites, so much so that it increases their purchase consideration.

Read More →
Ad Loading...
Bar graphic of used-car segment weekly change
Industryby StaffJuly 14, 2026

Black Book: Weekly Market Update

Used-vehicle market depreciation was the prevailing story in the wholesale market last week.

Read More →
Light-blue Fiat car parked on a sunny Chicago street
Industryby Hannah MitchellJuly 14, 2026

Smaller Is Looking Better

A growing number of Americans in the market for a new vehicle are opting for more affordable options, not waiting for market stability to bite the bullet.

Read More →
man sitting at desk using calculator with charts in front of him, to-go coffee cup on desk, rising and falling data chart in front
Industryby Lauren LawrenceJuly 14, 2026

U.S. EV Market Slowly Stabilizes

U.S. electric-vehicle interest is slowly stabilizing since a major dip in sales after last year's end of the federal EV tax credit, and hybrids remain the leading electrified power train.

Read More →
Ad Loading...
blue background, map of the world with connecting lights and an electric vehicle emblem in the middle
Industryby Lauren LawrenceJuly 8, 2026

Global EV Market Entering New Phase

Automakers are making investments to lower battery costs and optimize production to meet changing consumer needs.

Read More →
Bar chart showing week-over-week wholesale automotive price change
Industryby StaffJuly 7, 2026

Black Book Weekly Market Update

The holiday weekend, not surprisingly, put a drag on wholesale automotive activity last week, analysts observed.

Read More →
Photo of Honda CR-V SUV on two-lane road next to roadside trees
Industryby Hannah MitchellJuly 1, 2026

Auto Affordability in Context

Cox Automotive points out the complex circumstances that have led to eye-popping vehicle prices.

Read More →
Ad Loading...
Line chart of used-vehicle days to turn over past week
Industryby StaffJune 30, 2026

Black Book: Weekly Market Update

Automotive auction inventory increased last week, giving choosy bidders even more leeway.

Read More →