Business

GM will play up global market in pitch for investors

DETROIT – When General Motors executives travel across the globe to pitch an initial public stock offering, the company that was bailed out by American taxpayers will emphasize its global strength and growth potential in Brazil and China, according to a video and slide show that was posted on the Internet Thursday.

Although the U.S., once GM’s primary market, is featured in the show, the lead pitch is about fast-growing emerging markets such as China, where the company said it is the top seller of automobiles and is experiencing tremendous growth.

The videos, posted on the website www.retailroadshow.com, are the foundation of “road show” presentations that GM will make repeatedly to investors during the two weeks leading up to the Nov. 18 IPO.

The show begins today, with the company forming two teams that will try to woo investors in money center cities. One team will be headed by Chief Financial Officer Chris Liddell. The other will be run by Vice Chairman Steve Girsky, a former Wall Street analyst.

GM’s owners, including the U.S. government, plan to sell 365 million shares from $26 to $29 each in a historic offering that will return the privately held GM to the New York Stock Exchange. The final price is expected to be announced Nov. 17.

The sale is expected to bring in $10 billion, with around $7 billion going to the U.S. Treasury to help repay $50 billion in government aid that got GM through bankruptcy protection last year.

GM said in the videos that two-thirds of its sales now come from outside North America, which in past years had been its largest market.

With its joint venture partners, GM said it is the No. 1 auto seller in China, the world’s fastest-growing market. GM, according to the slides, had a 13.3 percent share of Chinese sales last year, followed by Volkswagen with a 10.5 percent market share.



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