GM Commences $13 Billion Public Offering

General Motors Company announced Wednesday that it has commenced a $13 billion public offering.

The offering will consist of 365 million shares of common stock to be sold by certain of its stockholders. The company will also issue 60 million shares of its Series B mandatory convertible junior preferred stock with a liquidation amount of $50 per share.

The estimated price range for the offering of common stock is $26.00 to $29.00 per share.

Unless converted earlier at the option of the holder, each share of the Series B preferred stock will automatically convert on the mandatory conversion date, which is expected to be three years from the original issue date. The conversion provisions depend on the applicable market value of the company's common stock, and are subject to certain anti-dilution adjustments.  

The underwriters have the option to purchase from the selling stockholders up to an additional 54.75 million shares of common stock and from the company an additional 9 million shares of Series B preferred stock, on the same terms and conditions, to cover over-allotments, if any.

Morgan Stanley and J.P. Morgan (representatives of the underwriters), BofA Merrill Lynch, Citi, Goldman, Sachs & Co., Barclays Capital, Credit Suisse, Deutsche Bank Securities and RBC Capital Markets will be the joint book-running managers for the offering. 

Copies of the preliminary prospectus relating to the offering may be obtained for free, by visiting the SEC website at http://www.sec.gov. A copy of the preliminary prospectus can also be obtained by contacting:

• Morgan Stanley & Co. Incorporated, Attention: ProspectusDepartment, 180 Varick Street, 2nd Floor, New York, New York10014; telephone: 1-866-718-1649, or by sending email to prospectus@morganstanley.com.
• J.P. Morgan Securities LLC, Attention: Broadridge Financial Solutions, 1155 Long IslandAvenue, Edgewood, New York11717; telephone 1-866-803-9204.