November 11, 2010, - 4:57 pm
It was bad enough when U.S. taxpayers bailed out General Motors and were forced to put the Obama administration in charge of the American auto giant. What’s even more disturbing is that after U.S. taxpayers bailed it out and built it back up, the government of Kuwait may soon own a large chunk. In other words, the U.S. taxpayers were forced to “invest” in GM but Kuwait–and several other intolerant, bigoted Muslim nations–will get the return on investment. And don’t forget how American creditors of GM were forced by the Obamaniacs to “take a haircut” on what was owed to them.
Now Muslim nations get to reap the rewards. Apparently, GM approached Kuwait, Saudi Arabia, and Abu Dhabi about investing in the initial public offering. The Saudi company which may take part is owned and run by the anti-Semitic, homicide-bomber-telethon donor (and FOX News owner) Prince Al-Waleed Bin Talal. Nauseating:
The Kuwait Investment Authority, Kuwait’s sovereign wealth fund, may participate in General Motors Co’s planned initial public offering if it is feasible for the fund, its managing director said Saturday.
“Last week, they announced the price range, which is the valuation range,” Bader Al Saad told reporters in Kuwait City.
“We have to review if it is feasible for us. If it is feasible for us we will look into it. If it is something cheap, we are interested of course,” Al Saad said.
GM on Wednesday disclosed estimated terms for its planned IPO, in which some $15 billion (Dh55.05 billion) of stock could be sold and the US government would reduce its stake to below 50 per cent.
Current owners of the company, including the US Treasury Department, plan to offer at least 365 million shares at a projected $26 to $29 each, according to a filing with the Securities and Exchange Commission. The final price, which should be set around on next Wednesday, could be higher or lower than this range, depending on market demand.
In addition to the common stock being sold by the current owners, GM plans to sell 60 million shares of preferred stock for an estimated $50 each.
General Motors is currently approaching several sovereign wealth funds in the Middle East for its planned IPO of the “new GM” this month, Gulf News has learnt from people who are involved in the talks. Among them are Saudi Arabia’s Kingdom Holding, Abu Dhabi’s Mubadala as well as Qatar Holding.
Perhaps they should change the name to General Muslims. It’s a dangerous precedent, to have these countries gain big stakes in such a major U.S. company, especially one that has a lot of government contracts, specifically defense contracts.
As I’ve said many times before, remember the good old days . . . when the Japanese owned everything in America?
Tags: Abu Dhabi, Bader Al Saad, Barack Obama, General Motors, General Muslim, GM, Initial Public Offering, IPO, Kingdom Holding, Kuwait Investment Authority, Mubadala, Qatar, Qatar Holding, Saudi Arabia