Continuing to executive on its plan to fully divest its ownership in General Motors, the United States Treasury told Congress on Monday that it sold $876.9 million worth of the automaker’s shares in July.
During the seventh month of 2013, GM shares traded between $34-37 per share, indicating that the government sold between 23 million and 26 million shares. Using those figures, the government still owns anywhere between 135 million to 137 million GM shares and, given the current rate, should be fully divested in roughly six months from today (in early 2014) — a timeframe that’s in line with the 12-15 month time table originally set out by the Treasury.
As a reminder, the U.S. originally purchased 61% of GM stock, or around 500 million shares, and has so far recouped $34.6 billion of the total $49.5 billion, besting an earlier valuation that pegged the transaction at a $20.3 billion loss. As of this writing, GM stock is valued at $35.57 per share — meaning that if the Treasury wanted to break even on GM’s rescue, it would need to sell the remaining shares at $95.51 per unit.
And while everyone may have varying opinions on the bailout and financial situation at hand, we can all agree that GM is back, is here to stay, and is well on its way of dominating.