just-auto.com

US: GM CEO meeting treasury secretary ahead of IPO

By just-auto.com editorial team | 12 October 2010

US treasury secretary Timothy Geithner is scheduled to meet General Motors CEO Dan Akerson on Tuesday (12 October), ahead of the automaker's expected preparations for a public stock offering after its 2009 bailout, the Treasury Department said.

The meeting in New York, which was unusually announced publicly, is closed to the press, but comes as the once mighty GM seeks its return to the Dow Jones index after it declared bankruptcy last year, AFP reported.

No details have been made available about the date of the stock offering, the number of shares to be offered or their prices, but the move could be among the largest ever of its kind in US history.

The treasury has said it will take place in the fourth quarter, and industry experts expect it to come after the 2 November US mid-term elections.

Akerson said last month that it could take a "couple of years" to repay the US government's US$50bn investment that allowed the auto giant to emerge from bankruptcy.