Breaking News: U.S. Treasury Is Selling More GM Shares (Yes, Again)
As the months leading up to the U.S. Treasury’s complete exit of its holdings in General Motors (NYSE:GM) wear on, the government is continuing to do its part in reducing its stake in the U.S. automaker. Its most recent sale of shares came Tuesday. Bloomberg reported that the Treasury recorded another sale, putting its stake now at 7.3 percent, down from the original 60.8 percent figure for the government’s GM bailout in 2009.
The U.S. Treasury has made significant strides this summer to reduce its control over GM’s shares — this comes as the Michigan-based company continues to resurrect success, post impressive sales figures, and launch new, appealing vehicles. Though it once looked as though GM, like its rivals Ford (NYSE:F) and Chrysler Group LLC, was facing an impossible uphill battle since its bailout, the U.S. automaker has effectively proven naysayers wrong and launched a major comeback effort.
Now, according to Bloomberg, the U.S. government has recovered about $35.4 billion of its original $49.5 billion investment in GM, and it is on schedule to meet its exit goals from the company as outlined at the end of 2012. The Treasury maintained in December that it would sell all of its GM shares in 12 to 15 months, and it is now well on its way. This summer, from May 6 to September 13, the government sold more than 110 million GM shares.