M.Stanley, JPMorgan could make $40 mln each from GM's IPO:report
(Reuters) - Total underwriting fees for the initial public offering of General Motors Co could reach about $248 million, largely benefitting the lead bankers including JPMorgan Chase and Morgan Stanley, the Wall Street Journal said.
Morgan Stanley and JPMorgan could each take home about $40 million in fees from GM's IPO, the Journal said, citing a person familiar with the matter.
The group of underwriters will split about $165 million, or 0.75 percent of the proceeds, with a higher fee of about 2 percent being paid by General Motors for the $5 billion in convertible shares being raised, the Journal said.
Morgan Stanley, JPMorgan, Bank of America and Citi are listed as lead underwriters on the offering.
Barclays Capital, Deutsche Bank, Goldman Sachs, Credit Suisse and Royal Bank of Canada are the other major underwriters of the deal.
Morgan Stanley and JPMorgan could not immediately be reached for comment by Reuters outside regular U.S. business hours. (Reporting by Sakthi Prasad in Bangalore; Editing by Muralikumar Anantharaman)