The U.S. government is planning to offload a majority share of its remaining stake in General Motors (GM) in the summer or fall, The Wall Street Journal reports. The government will be required to sell its remaining 500 million shares at $53 apiece in order to save U.S. taxpayers to take a loss on their $50 billion rescue of the Detroit auto maker in 2009.
The Treasury is unable to sell its holdings before May 22, due to a condition of the $23.1 billion IPO, which took place in November and reduced the U.S. government’s stake in GM from 61% to 26.5%. The Treasury is expected to sell its entire stake in GM by the end of 2011.
Click here for the story from The Wall Street Journal.
Click here for additional coverage from Reuters.