FoMoCo’s Executive Chairman Bill Ford, who just got paid after a 5-year pay freeze, said that he expects some investors may reduce their holdings in his company to buy shares of General Motors as the company files for an initial public offering. Bill said that investors may make the move to spread their risk across the auto industry.
“Some money will be rebalanced into GM, but look: our company and GM ultimately are going to succeed or not based upon performance,” Bill, 53, told reporters. “It doesn”t make any difference to me where our shares are or their shares are on any given day.”
GM announced Wednesday that it has filed for an initial public offering of common stock with the U.S. Securities and Exchange Commission (SEC). The Detroit automaker is owned 61 percent by the U.S. Treasury. The offering may be as large as $16 billion, according to sources familiar with the plans.
– By: Omar Rana