General Motors is planning an initial public offering (IPO) next year and is confident it can repay some of its more than $50 billion of US government bail-out loans early.
Chief executive Fritz Henderson says that his job could be at risk is he fails to deliver on promises to turn round GM made to the US government, the ‘new’ Detroit carmaker’s majority owner.
Mr Henderson said that GM was confident it could pay back a portion of its federal loans, which come due in 2015, in an appropriate time beforehand.
He also said that GM needed to increase its value. Depending on the state of capital markets, an IPO could be launched next year.
Mr Henderson said: “Our objective is to be ready by then. Every one of our shareholders would like to see a market created in our stock.”
Source: Financial Times