Tag: whitacre

Followup: GM officials take issue with Whitacre’s IPO share price estimates

Filed under: Government/Legal, GM

Ed Whitacre, GM CEO

It was only last week when Reuters reported that Ed Whitacre, Jr. told the media that General Motors IPO shares would “likely to be priced between $20 and $25 in the initial public offering by the automaker in November.” GM didn’t respond immediately, but now, like a judge giving instructions to the jury to disregard a courtroom outburst, The General is essentially saying “ignore everything you just heard.”

According to The Detroit News, a GM response filed with the Securities and Exchange Commission refutes everything, saying that the price hasn’t been set, the IPO might not happen in November, and the company doesn’t know if it “will be successful or whether it will work.” GM is in a self-imposed “quiet period” before its IPO “to comply with SEC regulations,” which Whitacre’s comments blew out of the water. According outside observers, “Any comments beyond what is included in GM’s regulatory filings could be construed as breaking SEC rules during the quiet period and could jeopardize the timing of the IPO.” Whoopsie.

[Source: The Detroit News]

Followup: GM officials take issue with Whitacre’s IPO share price estimates originally appeared on Autoblog on Mon, 18 Oct 2010 16:01:00 EST. Please see our terms for use of feeds.

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Followup: GM officials take issue with Whitacre’s IPO share price estimates

Filed under: Government/Legal, GM

Ed Whitacre, GM CEO

It was only last week when Reuters reported that Ed Whitacre, Jr. told the media that General Motors IPO shares would “likely to be priced between $20 and $25 in the initial public offering by the automaker in November.” GM didn’t respond immediately, but now, like a judge giving instructions to the jury to disregard a courtroom outburst, The General is essentially saying “ignore everything you just heard.”

According to The Detroit News, a GM response filed with the Securities and Exchange Commission refutes everything, saying that the price hasn’t been set, the IPO might not happen in November, and the company doesn’t know if it “will be successful or whether it will work.” GM is in a self-imposed “quiet period” before its IPO “to comply with SEC regulations,” which Whitacre’s comments blew out of the water. According outside observers, “Any comments beyond what is included in GM’s regulatory filings could be construed as breaking SEC rules during the quiet period and could jeopardize the timing of the IPO.” Whoopsie.

[Source: The Detroit News]

Followup: GM officials take issue with Whitacre’s IPO share price estimates originally appeared on Autoblog on Mon, 18 Oct 2010 16:01:00 EST. Please see our terms for use of feeds.

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Report: Whitacre suggests GM IPO shares will be $20-$25

Filed under: GM, Earnings/Financials

Ed Whitacre in crush of reporters

General Motors chairman Ed Whitacre is readying the world for GM’s Initial Public Offering. The IPO is slated to happen next month and Whitacre has reportedly said that he expects shares to be priced between $20 and $25. That price will likely be achieved via a stock split, with sources saying GM plans to offer shares in a four-to-one split.

This could be good news for past and present employees, as well as dealers, who are invited to purchase shares at the IPO price. The minimum investment is said to be $1,000 to participate in this program and even that minimum dollar amount could yield solid returns right out of the gate.

[Source: The Detroit News | Image: Stan Honda/AFP/Getty]

Report: Whitacre suggests GM IPO shares will be $20-$25 originally appeared on Autoblog on Thu, 14 Oct 2010 16:01:00 EST. Please see our terms for use of feeds.

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Report: Whitacre says GM anticipates offering entire company in IPO

Filed under: Government/Legal, GM, Earnings/Financials

At this point, the only thing we know for sure about the General Motors initial public offering is that it will happen… eventually. With the United States government holding a 61-percent equity stake in the automaker, the political pressure is huge to make a stock sale occur sooner rather than later.

However, until GM CEO Ed Whitacre spoke at the Management Briefing Seminars in Traverse City, MI this week, the presumption was that only about one-third of the company’s stock would be offered up in the IPO. Whitacre, however, seems to be indicating that the entire company would be offered up in a single sale. The rationale for doing the stock sale in stages would be to maximize the return on the government’s investment. A single sale might result in a lower per-share price and lower overall return. By selling a smaller stake and then timing further sales with a hopefully rising stock price, the return could be improved.

Following Whitacre’s comments, other GM representatives told CNBC that the final decision would be made by the current shareholders, the U.S. and Canadian governments, the UAW health care trust and former bondholders.

[Source: CNBC]

Report: Whitacre says GM anticipates offering entire company in IPO originally appeared on Autoblog on Fri, 06 Aug 2010 16:59:00 EST. Please see our terms for use of feeds.

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