The Canadian province of Ontario has owned shares of General Motors stock since 2009 when they spent $9.13 billion ($10 billion Canadian) to help keep GM in business. Now, in a review of their state-owned assets, they have decided to sell the balance of their investment.
“Some assets may no longer serve a public good. One good example is our shares in GM,” said Finance Minister Charles Sousa said in a speech today in Toronto. “To maximize the value of these assets to the province, they will look at measures such as efficient governance, growth strategies, corporate reorganization, mergers, acquisitions, and public-private partnerships. The council will give preference to continued government ownership of all core strategic assets.”
This past September, the Canadian and Ontario governments decided to sell 30 million shares to Bank of America Corp. and Royal Bank of Canada, reducing their stake by 21 percent. The balance of the 110 million shares, plus some other state-owned assets, will be sold upon a review by a panel led by Toronto-Dominion Bank CEO Ed Clark.