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GM expected to file terms of IPO Tuesday
Automaker expects to sell 365 million common shares priced between $26 and $29

BREAKING NEWS

General Motors is expected to file the terms of its initial public offering of shares on Tuesday, according to news reports.

The U.S. automaker, which is now majority owned by the federal government, is expected to sell 365 million common shares for $26 to $29 each, according to sources. GM is also expected to sell $3 billion worth of preferred shares, the sources said.

The IPO is expected to reduce the U.S. Treasury's stake to 43.3 percent from the 60.8 percent it currently has, not including the overallotment option, one of the sources said. The governments of Canada and Ontario are expected to sell down their stake to 9.6 percent from 11.7 percent and the UAW VEBA trust is expected to sell down its stake to 15 percent from 17.5 percent, that source said.


GM is expected to begin its IPO roadshow on Wednesday. It is expected to price its IPO on Nov. 17 and begin trading on the New York and Toronto stock exchanges on Nov. 18, the sources said.
Story: In GM IPO, government is a back-seat driver

GM is likely to sell a combined $1.5 billion to $2 billion stake to four or five sovereign wealth funds, one source said.

The Associated Press and Reuters contributed to this report.

http://www.msnbc.msn.com/id/39954478/ns/business-autos/