I may not know a lot about IPOs (Initial Public Offerings) where companies offer their stock for sale to the general public but something just doesn’t seem quite kosher with the way GM is handling their IPO.
Whitaker, who is regarded as the savior of GM (really Obama is) was going to step down after the IPO until he was told that he could be sued by shareholders for stepping down after the IPO? Well, the logic here is that the shareholders bought the shares knowing that Whitaker would continue to lead the company in the grand fashion he has been leading it so far. If he knew that he would be stepping down after the IPO then he “mislead” the share buyers and that would be a crime or at least a legal no-no.
SO, GM quickly names a new CEO who will not step down right away and Whitaker will not be sued after he steps down after the IPO – got it?
The problem is, why would share buyers buy GM shares when they know the man in charge is leaving and the man to be in charge is a hastily promoted nobody?
The IPO is very important to GM as it is to any company wishing to move forward so why is GM screwing it up so badly?
Whitaker is the same guy that made a commercial saying GM has paid the government back the money they borrowed but left out the fact that the money used to pay back the government was actually government money and not money earned from selling cars.
Maybe Whitaker is not so smart after all or maybe he is a trickster. Lets see how Wall Street reacts to all the strange goings-on at GM.
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