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GM to sell stake in Suzuki to raise cash
U.S. flags flutter in the wind in front of the General Motors Corp headquarters in Detroit, Michigan November 7, 2008.
Credit: Reuters/Rebecca Cook
TOKYO |
TOKYO (Reuters) - General Motors Corp (GM.N) will sell back its 3 percent stake in Suzuki Motor Corp (7269.T) for $232 million as the struggling U.S. automaker seeks to raise cash.
Suzuki said it would pay 1,363 yen per share -- the price at which its shares closed on Monday -- to buy back the 3.02 percent stake.
The two firms plan to continue to cooperate in emerging markets and in developing new auto technology, Suzuki said in a statement.
"We understand full well that GM faces a need to sell its shareholdings to secure funding," Suzuki said in a release.
GM previously sold a 17 percent stake in Suzuki in March 2006.
(Reporting by Mayumi Negishi)
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