Zhao Ying: General purpose of restarting IPO is to go localization

On August 12, General Motors announced its second-quarter financial report. The financial report showed that the second-quarter net profit of 1.3 billion U.S. dollars was the largest quarterly profit since 2004, which will accelerate the general restart of the IPO process. Well-informed sources disclosed that General Motors plans to file an initial public offering (IPO) application on August 13 for a public offering during the year. The funds raised will be used to return part of the U.S. Treasury’s direct capital injection. At the same time, General Motors has released A shocking news: General Motors CEO Edward Whitaker will resign from his position as Chief Executive Officer on September 1. Current company director Akxon will take over Whitaker in charge of General Phoenix. Connected Zhao Ying, Research Fellow, Institute of Industrial Economics, Chinese Academy of Social Sciences.

Zhao Ying said that the main reason why GM restarted the IPO was to raise funds to repay the US Department of the Treasury’s rescue fund in order to tear up the label of the “government car” as soon as possible. Regarding Whittaker's sudden announcement of resignation, Zhao Ying told Fenghuang.com. Replacing a CEO is only a matter of time. Whitaker is now announcing his success and is expected.

According to the latest news, GM will submit an initial public offering (IPO) plan to regulators this week and plans to hire at least eight additional banks as IPO underwriters. Major underwriters include Bank of America (BAC.N), Citigroup. (CN), JPM.N and Morgan Stanley (MS.N).