An Elite Alternative to GM’s IPO?

by Todd Shriber

General Motors’ much ballyhooed sequel as a public company starts today when it resumes trading on the New York Stock Exchange.

In what has been deemed an “encouraging sign” by some, GM investors sold $15.8 billion in common shares on Wednesday in what is already the second-biggest U.S. IPO on record. Factor in preferred shares, and the GM IPO may beat out Agricultural Bank of China for biggest initial public offering ever, Bloomberg reported.

The GM IPO is sure to overshadow plenty of other new issues during the coming weeks, but for auto enthusiasts that should not be the case. Why? Because it appears a Ferrari IPO is a possibility. A Morgan Stanley analyst said his firm left a recent Fiat meeting with the “clear message that Fiat and Chrysler will become one company,” meaning a Ferrari IPO could be in the offing, according to Bloomberg. Credit Suisse also said a Ferrari listing is a possibility, the article said.

Parent company Fiat did its best to quell that speculation, saying a Ferrari listing was merely an “option,” according to a Reuters report.

There’s no word on where Ferrari shares will list if there is an IPO. But it’s safe to assume the stock would be listed in Milan, at least to start. That would temper the interest of U.S. investors and traders in the offering, but it doesn’t change the fact that we’re talking about Ferrari and GM here. There’s a reason why web sites like Wrecked Exotics exist, and it’s not so car junkies can look at pictures of damaged Buick Skylarks.

Ferrari’s IPO may or may not materialize, but it is sure to be overshadowed in the near term on the GM news. The Chevrolet Volt may be Motor Trend‘s car of the year. But superlatives aside, it’s way more fun to drive an Enzo. Plus, Ferrari has a way cooler logo.

Related posts:

  1. New Hedge Funds Defy Portents of Alternative Asset DoomHedge fund returns have been bad this year, and a lot of people are not happy about paying...
  2. This Week In Wall Street History October 25thOct. 30 - Now part of media giant Viacom (for a cool $3 billion), the then-independent Black Entertainment...
  3. Momentum Madness: High Flyers Flying Ever HigherBy Paul Springer In these troubled times and fickle markets, it’s a pleasure to find that some stocks...
  4. Graphic Evidence: MELA Rides the AnvilMELA Sciences presented a textbook case of what the FDA can do to a development company’s stock price....
  5. Triple-S: How to Get Triple Hosed in Health CareShares in Puerto Rico-based managed care provider Triple-S Management Corp. took a beating on the New York Stock Exchange...

Short URL: http://www.traderdaily.com/?p=8900

You must be logged in to post a comment Login

Receive TraderDaily by Email

- Yes! Sign me up for TraderDaily by Email
First Name:
Last Name:
Company:
*Email:

Twitter Facebook Linked In RSS Feed

© 2014 TraderDaily. All Rights Reserved.

Videos, Slideshows and Podcasts by Cincopa Wordpress Plugin