Kuwait SWF said to have decided against GM investment

Automaker had raised more than $20bn in its IPO, US government now a minority shareholder
Kuwait SWF said to have decided against GM investment
PRICE RAISED: Kuwait Investment Authority decided against buying General Motors shares after the sale price was raised
By Bloomberg
Sun 21 Nov 2010 03:26 PM

Kuwait Investment Authority, the country’s sovereign wealth fund, decided against buying General Motors shares after the sale price was raised, according to a person familiar with the matter.

GM’s owners, including the US Treasury, sold shares at $33 each in an initial public offering on Nov 17. The automaker had filed with the Securities and Exchange Commission on Nov 3 to offer the shares for $26 to $29 each.

The company raised more than $20 billion in the IPO, which reduced the US government to a minority shareholder.

KIA’s Managing Director Bader al Saad said on Nov 6 that Kuwait would look into the IPO’s price range before deciding to buy shares in the automaker.

“If something is cheap, we are interested, of course,” al Saad said at the time.

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