GM's IPO May Raise Record Amount
Author: Sharon Terlep,Randall Smith; Aaron Lucchetti</br></br>General Motors Co. said Wednesday that it will increase the size of its initial public offering by about 30% to 478 million shares, which could make it the largest global IPO in history.</br></br>The move, which came despite broad stock market losses Tuesday, is a response to stronger-than-expected demand for shares in the auto maker, which is generating solid profits after last year's U.S. government-orchestrated bankruptcy.</br></br>Earlier Tuesday, GM confirmed it would raise the expected price for shares sold in its IPO to a range of $32 to $33 from the previous $26 to $29. GM also plans to sell up to $4.6 billion of preferred stock, up from $3 billion previously planned. The IPO will be priced Wednesday after the U.S. stock markets close and the shares will start trading Thursday.</br></br>The value of the offering, including the mandatory convertible preferred shares, could reach $22.8 billion, eclipsing the $22.1 billion IPO by Agriculture Bank of China in July 2010, according to Thomson Reuters.