Kerkorian Bid Boosts Gm

Summary


DETROIT -- Billionaire investor Kirk Kerkorian went ahead Monday with an offer to buy up to 28 million GM shares -- a bid that would roughly double his stake in the automaker -- despite last week's downgrade of GM debt to "junk" status. Shares of the world's largest automaker rose slightly.

Kerkorian's investment firm, Tracinda Corp., is offering nearly $870 million, or $31 per share, according to documents filed with the U.S. Securities and Exchange Commission. If all 28 million shares are purchased, Kerkorian would own 8.84 percent of GM's shares, or a total of 50 million.

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Extract


Kerkorian Bid Boosts Gm

The offer is set to expire June 7, the day of GM's annual meeting in Wilmington, Del.

Shares of General Motors Corp. closed up 57 cents, o...

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