Saudi billionaire invests $500 million in General Motors image

Prince Alwaleed Bin Talal invested $500 million in the automaker’s initial public stock offering.

The Saudi prince’s stake is about the same size as SAIC Motor Corp. – GM’s partner in China, which acquired 0.97% of GM when the U.S. Treasury sold about 358 million shares of the automaker for $33 each.

The investment, held by the prince amounts to a stake of aprox 1 per cent. The US government sold close to half its shares in the IPO but remains GM’s biggest shareholder, with 33 per cent.

“We are confident that the current management of G.M. is able to deliver growth and profits over the coming years,” Ahmed Reda Halawani, Kingdom Holding’s executive director of private equity, said in a statement. “We will be able to achieve the expected return on this investment.”

via Automarket