A few hours ago, GM has announced that they’ve decided to sell their remaining stake in Suzuki Motor Corp. This probably comes as an effort to raise additional funds, after a couple of weeks ago the Detroit giant, which is going through its worst financial crisis ever, announced that it might have no funds left by next summer. GM plans to sell 16,413,000 Suzuki shares, which is equal to 3 percent of Suzuki’s shares, for around $230 million. GM was involved in Suzuki for the first time in 1981, when it purchased 5.3 percent of the Japanese carmakers’ shares. In 2001, GM was owning sligthly over 20 percent, before selling 17.4 percent in 2006.
According to both parties, this doesn’t mean the business relationship between the companies won’t go on: “We highly value our strategic relationship with Suzuki,” said Rick Wagoner, GM chairman and chief executive officer. “Despite the sale of our remaining Suzuki shares, this action will have no impact on our existing bilateral business relationships. We look forward to continue building on our success to date with our long-term partner.”
Source: GM