Buried deep in the more than 700 pages of the automaker's ’s prospectus was a warning, too:
the bankruptcy court could issue more than $37 billion in third-party claims pending – probably in the form of stock and warrants (for additional stock payable in the future at a pre-set price). In other words, buyers of the common stock in the initial offering would face even more dilution.
Are officials in the Obama administration pushing to unload some of its 60.8% share in the "new GM" to show taxpayers before the November mid-term elections that the $50 billion of their monies invested in the venerable automaker (to stave of liquidation) was a wise decision from the “anointed” one? Read More ….
Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.