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CRI news Beijing time 3 September morning message if all went well, General Motors will be held this fall for IPO. According to sources, the current United States Treasury Department's concern was that allowing what quantity of overseas investors buy shares of General Motors.

Sources said that in the sovereign funds, and other non-United States local investors to cornerstone investor in General Motors IPO, the United States Treasury Department may adopt limits or targeted screening. It is understood that the United States Government on the issue in this case, is primarily intended to be the General Motors huge IPO of political influence.

In General, to participate in IPO of cornerstone investors will be to determine the prices to purchase and hold a large number of the company's stock, thus helping with the IPO of enterprises attract more investors. And in return, the cornerstone investors buy stock price can be a degree of preference.

At present, overseas sovereign Fund and other foreign investors hold a significant number of large enterprises in the United States. But for General Motors, the introduction of foreign investors is a sensitive issue. In 2009, the United States Government will be $ 50 billion of taxpayers ' funds into the General Motors, to help complete the restructuring of the latter. In the GM of IPO process, the United States Treasury Department may make certain amount of cash.

Sources said the United States Government will in the next two weeks to determine as a cornerstone investor in General Motors IPO of overseas investors. For United States Department of Treasury, the cornerstone of the investors, the more it easier through the sale of the shares of General Motors for cash. Currently, GM and is responsible for its IPO underwriting investment banks are seeking to maximize the number of investors, thereby increasing the size of its IPO. According to the plan, GM's IPO will be held in mid-November of this year, and the United States Treasury Department currently holds 61% of the company.

For General Motors, as soon as possible to get rid of United States Government control will contribute to its operation. It is precisely because of United States Government to hold a large stock of General Motors, many potential customers are not willing to purchase the company's products. But on the other hand, the United States Treasury Department would like to be able to continue to hold a General Motors stock over a period of time to wait for a better price for sale to the Government to recover the entire investment even achieved profitability. This also means that the United States Treasury at GM's IPO process will not be sold a large number of stock and the choice to continue to hold.

Sources, in order to determine the time for its IPO investors, General Motors must be in the next two weeks to develop relevant programmes. According to the plan, GM will be November 2 United States Congressional midterm elections immediately after the formal Roadshow's IPO will take place before the end of November. But if everything goes according to plan, GM will be published before the IPO of its third quarter results of fiscal report. (Tianbao)