B212

It will be no fire sale, or peddling the stock certificates at street corners like Bloor and Yonge, or in front of Queen's Park, University and College junction.

This was what the Minister said: "Selling the GM shares, which Ontario got when it helped the federal government save the auto maker during the recession, could net about $1.4-billion at current market prices. Mr. Sousa said the government would wait over the next year for the best time to sell."

Also, $1.4B worth of stocks will not be dumped to the market for retail investors. Most likely, big chunks would be arranged to be sold to institutional investors, large mutual funds, etc...

In fact the Fed and the Prov have sold some (for ~$1 B back in 2013, I believe) and they still have more sitting around waiting for a good opportunity to divest.

Don't worry, the Finance Ministers have enough connection with institutional buyers...just a phone call away to the top persons of the institutions (CEOs, chairmen of the board?) to agreed on a suitable price that would not put the government under an unfavourable light.

Also, the Fed could sell some of its GM shares to provide matching funding for the RoF RR (which is estimated to cost ~$1.6 B, chump change... which could be easily financed by companies like Baosteel, or Glencore, even without government's help. It's not the shortage of money, it the political will from the governments).

goldhunter