General Motors IPO.......the fleecing continues.

Discussion in 'Off-topic' started by seereus, Nov 18, 2010.

  1. seereus

    seereus Active Member

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    So the fleecing continues.
    General Motors IPO was instituted today.
    As of just a few minutes ago the stock was up by 8%

    Only problem is that the common man can not by the stock.

    You have to have a pre-approved account or be a pre-approved buyer.

    The guy in charge of the IPO basically stated that its not available for the common man, that the IPO will be sold to institutions etc.
    http://news.yahoo.com/s/ap/20101118/ap_ ... /us_gm_ipo

    "Most of the new stock will go to institutional investors, not to everyday investors, following a Wall Street system that rewards investment banks' big customers. GM will set aside 5 percent of its new stock for employees, retirees and car dealers to buy at the offering price. The deadline to sign up was Oct. 22, but the company has not revealed how many people took the offer."
     
  2. mountainpass

    mountainpass Under Scrutiny

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    Throughout the day those institutions will start selling ...if not already, if you really want to buy. I don't think GM is on any upswing. Smoke and mirrors.
     

  3. Adam5

    Adam5 Atlanta Overwatch

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    This.

    It's actually a semi-common practice to reserve the IPO for institutions.
     
  4. Nullifier

    Nullifier Active Member

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    Why would I want to buy stock in Government Motors? As a taxpayer I already own them.
     
  5. mountainpass

    mountainpass Under Scrutiny

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    Well as a stockholder you could get a tax write-off,..... not so much as a tax-payer.
     
  6. Macktee

    Macktee New Member

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    Bush did a lot of thing I disagreed with, but bailing out the banks, Wall Street and the auto industry was something that had to be done and I agree with his decision to do it.

    The number of jobs that would have been lost would have plunged this country, quickly followed by the rest of the world, into a depression at least as bad as 1929.

    Yeah, those companies dug their own graves and fairness says let them just lie down and get covered up, but...

    What I said about jobs.

    Allowing any of those major employers to go under would have affected all of us, and definitely not in a good way.

    What I find really amazing is GM may come out of this by paying back almost all, or maybe even all, of the money "we" loaned them. If the final result is they can keep all of those people off unemployment and pay back the money, it will turn out to have been a very smart move on Bush's part.
     
  7. hkdave

    hkdave New Member

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    Common with IPOs, so what's the problem?
     
  8. AEKDB

    AEKDB New Member

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    The problem is the theft of GM. This is the cash out. Analogous to the common thief pawning a stolen piece of jewelery.

    When GM went bankrupt the bond holders should have had first right to the liquidation. Instead the Government waived the bondholders rights and took ownership. Then the Government issues an IPO and the funds go to the now Union controlled new entity and select investors (some selected by the Government) get first shot at any profit. It is theft.