China's SAIC buys nearly 1 percent stake in GM

My Way News ^ | 11/18/10 | ELAINE KURTENBACH

[Nachum]

SHANGHAI (AP) - General Motors Co. (GM)'s main joint venture partner in China, SAIC Motor Corp., says it has bought a nearly 1 percent stake in the American automaker through its initial public offering.

SAIC, which is owned by the Shanghai city government, said Thursday it paid $33 a share for about 0.97 percent of GM at a total cost of nearly $500 million.

GM's stock offer is worth potentially $23 billion and will end the U.S. government's role as a majority shareholder after the automaker entered bankruptcy protection in June 2009.

The long-standing partnership between GM and SAIC - GM could not sell cars in China without a local partner - includes the U.S. automaker's flagship China joint venture, one of 10 ranging from research and design to manufacturing and finance.

[bareford101]

well....China isn’t stupid...knowing that any car factories that the government owns is not going to go under.... could be that they will eventually buy out obamanation’s shares... you know, the shares he bought with our money...

[LibLieSlayer]

Let them move gm and the uaw to china... they can have both of them. After a lifetime of GM cars... never again.

LLS

[the invisib1e hand]

the new volks wagen. the car for “the people.”

[USFRIENDINVICTORIA]

What percent of GM would China have to own, to get a seat on the Board, or to get access to GM technology?

China is probably very interested in electric-car technology. Consider that they have a shortage of oil; and no environmental constraints on using coal or nuclear power to generate electricity. Also, consider that they've got a near monopoly on the supply of rare earth metals, which are essential for making electric cars.

[Bob Buchholz]

Isn’t SAIC CIAs spelled backward?