General Motors Increases Size Of IPO

Thursday, November 18, 2010 - 12:23 AM

(Detroit -- Jerome Vaughn, WDET) General Motors is expanding the scope of its initial public offering of stock.

GM says it will offer 478 million shares of common stock in its IPO, a 31 percent increase.

The Detroit automaker says it’s making the change because of substantial demand. The company has also decided to raise the price per share to $33, up from a range of $26 to $29 per share proposed earlier this month.

Positive financial news from the company has pushed interest in the IPO even higher in recent weeks. The automaker posted a two billion dollar profit in the third quarter of this year and expects to show its first full-year profit since 2004.

General Motors filed for Chapter 11 bankruptcy protection in June 2009, emerging just over a month later. The U-S government currently owns about 61 percent of General Motors.  Federal ownership could shrink to as low as 33 percent after the IPO.


The Morning Brief

Enter your email address and we’ll send you our top 5 stories every day, plus breaking news and weather.

Leave a Comment

Email addresses are required but never displayed.