UPDATE 2-Ally Financial IPO priced at $25 per share -underwriter
* Company raises about $2.38 bln from offering
* Marks the biggest U.S. offering so far this year
* Citigroup, Goldman, Morgan Stanley, Barclays underwriters (Adds U.S. Treasury statement)
By Avik Das
April 9 (Reuters) - Ally Financial Inc's initial public offering has been priced at the lower-end of the expected range at $25 per share, an underwriter said, valuing the bailed-out auto lender at about $12.04 billion.
The IPO raised about $2.38 billion, making it the biggest U.S. offering so far this year, eclipsing that of Santander Consumer USA Holdings Inc and IMS Health Holdings Inc .
Santander Consumer, the auto-finance unit of Spanish bank Santander, raised $1.8 billion in January, valuing the firm at about $8.34 billion at its offering price. Healthcare information company IMS Health raised about $1.30 billion last week from its IPO, valuing the company at about $6.64 billion.
The U.S. Treasury, which bailed out Ally for $17.2 billion during the 2008 financial crisis under the Troubled Asset Relief Program (TARP), sold all the 95 million shares on offer.
Ahead of the IPO, taxpayers had recovered $15.3 billion of that investment. The Treasury department said in a statement that including the anticipated proceeds from the IPO, taxpayers would have recovered about $500 million more than what was originally invested in the company.
Ally was among the auto, housing and finance companies bailed out in 2009 under the $423 billion Troubled Asset Relief Program (TARP). Taxpayers have recovered $418 billion from TARP as of March 27.
Shares of Ally, which initially filed for an IPO in March 2011 but repeatedly delayed its plans, are expected to start trading on Thursday and list on the New York Stock Exchange under the symbol "ALLY."
Ally previously said it expected to price its offering at between $25-$28 per share.
The Treasury, which held 36.8 percent of Ally before the offering, will see its stake fall to 14.1 percent if underwriters exercise an option to sell additional shares on behalf of the government.
Activist investor Daniel Loeb's hedge fund Third Point LLC and Cerberus Capital Management are not selling any of their shares in Ally in the IPO. Third Point has a 9.5 percent stake, while Cerberus Capital owns an 8.6 percent stake.
The company's net income fell to $361 million from $1.20 billion in 2013. Total net revenue fell about 4.5 percent to $4.26 billion during the period.
Ally's fourth-quarter profit was hurt by a charge to settle allegations by regulators that it discriminated against minorities in auto lending.
The company's auto finance business also slowed in the quarter, with new loans falling 8 percent to $8.2 billion as its agreement as Chrysler's preferred lender expired.
Citigroup, Goldman Sachs & Co, Morgan Stanley and Barclays are the lead underwriters for the offering. (Reporting by Avik Das in Bangalore; Editing by Sriraj Kalluvila, Bernard Orr)
DAVOS, Switzerland - Central banks have done their best to rescue the world economy by printing money and politicians must now act fast to enact structural reforms and pro-investment policies to boost growth, central bankers said on Saturday.