Nathan Bomey, Detroit Free Press
8:29a.m. EST December 19, 2012
The U.S. government plans to sell 40% of its General Motors stock within weeks and sell the rest of its shares within 12 to 15 months, officials announced Wednesday.
In turn, GM said it would buy back 200 million shares from the U.S. Treasury as soon as January in a $5.5 billion deal. That would reduce the government stake from 26% to 19%.
Treasury's plan to liquidate its equity stake in GM by selling its remaining 300 million shares will end the government's ownership position in the automaker.
"This announcement is an important step in bringing closure to the successful auto industry rescue, it further removes the perception of government ownership of GM among customers, and it demonstrates confidence in GM's progress and our future," CEO Dan Akerson said.