The Treasury Department says it will begin selling $2.7 billion in trust-preferred securities it holds in Ally Financial, the latest step to recoup the costs of the $700 billion financial bailout.
Treasury hopes to take back more taxpayer money through an initial public offering of the former General Motors finance arm, which received $17.2 billion during the financial crisis. The government owns 74 percent of the company through holdings of common stock.
The initial sale of the securities is expected to take place in March. Treasury did not provide a date or how much in securities it would put up in the initial offering.
Four investment banks were selected in February to handle the initial public stock offering. No date has been set for the IPO.
© Copyright 2017 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.