U.S. says got another $1.8 billion from GM offering

WASHINGTON Thu Dec 2, 2010 4:08pm EST

A banner hangs at the front of the General Motors Co world headquarters announcing GM's return to the New York Stock Exchange (NYSE) in Detroit, Michigan November 18, 2010. REUTERS/Rebecca Cook

A banner hangs at the front of the General Motors Co world headquarters announcing GM's return to the New York Stock Exchange (NYSE) in Detroit, Michigan November 18, 2010.

Credit: Reuters/Rebecca Cook

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WASHINGTON (Reuters) - The U.S. Treasury Department said on Thursday it had received another $1.8 billion in net proceeds from General Motors' initial public offering, bringing to $13.5 billion the amount that has been repaid to taxpayers.

Treasury received $11.7 billion on November 23 from the sale of GM stock in an initial public offering and then took in the extra $1.8 billion when bankers exercised over-allotment options to buy additional shares afterward.

The government put $49.5 billion into GM as part of a bailout of the giant automaker during the 2007-2009 financial crisis. Treasury said its stake in the automaker has been cut nearly in half to 33.3 percent from 60.8 percent as a result of the initial public offing of stock last month.

The GM initial offering last month raised $20.1 billion through sales of common and preferred shares, making it the biggest initial public offering in U.S. history.

While taxpayers still are owed large amounts, the successful offering was considered a good sign for GM and for the Obama administration which had been criticized for the bailout that had led some to dub the company "Government Motors."

(Reporting by Glenn Somerville; Editing by James Dalgleish)

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