By on February 19, 2015

GM First Day as a Public Company Celebration

While Harry J. Wilson wants General Motors to buy-back $8 billion in shares, Warren Buffett and George Soros have boosted their stakes in the company.

The Wall Street Journal reports Buffett’s Berkshire Hathaway increased its stake in GM 1 million shares to a total of 41 million during Q4 2014. Meanwhile, Soros Fund Management added 728,938 shares in the same period, boosting overall holdings to 4.9 million.

Both purchases were made prior to Wilson’s announcement that he would not only call for the buyback — citing concerns about how the automaker isn’t spending its $25-billion “fortress balance sheet” — but to also push for a seat on its board to help further the cause. Wilson was hired by President Barack Obama to help GM in its bankruptcy proceedings in 2009.

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11 Comments on “Buffett, Soros Boost Stakes In General Motors In Q4 2014...”

  • avatar

    One thing I’ve learned in investing..never bet against an affiliate of the government. Soros and Buffet are well connected in Wash DC, so I wouldn’t recommend buying puts on GM stock.

    • 0 avatar

      Hear! Hear! Everyone knows that Buffet was against Keystone XL because he makes tons of money on those oil trains. That’s why Buffet has come out multiple times in support of Keystone XL…wait a minute…

      The dialog that people tell themselves in this country to convince themselves that something is true never ceases to amaze and disappoint.

      The proletariat picks the billionaires they want to love, and the billionaires they want to hate – based on their political views. The average American is apparently too numb, too dumb, or both, to see that they’re being played by both sides and the concepts behind the Citizens United decision has us living more in a corporatism than a republic.

      We have the best government – money can buy.

      • 0 avatar

        This exactly. Post citizens united the electorate are about as powerful as a consumer clinic asked to choose between marketing campaigns. “Would you rather hear this marketing line or that one before I do what I will be eventually paid for and will pitch to you using the dollars I will actually represent?”

        You just can’t have democracy and inheritable nobility in the same culture.

  • avatar

    Not until they’re done pilfering the ‘fortress balance sheet’ that was created with taxpayer dollars. GM had 39 billion to play with when the taxpayers took their losses on the scam, which is already down to 25 billion. Now, the same guy that lobbied for the cash pile is getting ready to disperse it for the enrichment of Obama’s most loathsome backers. The left-wing trial lawyers will get their piece too, at which point a put would have seemed brilliant, and there will have been plenty placed by people who know when the looting would be at its most egregious.

    • 0 avatar

      So the Republicans bailed out no one? Nothing huh? Little biased spewing your contempt? Bush didn’t approve auto bail out or the wall street bail out? The Right had their hand out and benefitted from ALL the bailouts too.

      • 0 avatar

        Sure, everyone knows that GM and Chrysler are liberal auto manufacturers with a strictly Democratic management staff who all benefited from handouts by the biggest liberal of all George Bush

        • 0 avatar

          What’s odd is that the leftists of General Motors give a majority of their campaign contributions to Republicans:

          Obviously, it isn’t just the ignition switches that are faulty.

          • 0 avatar

            Michigan, anti-gay marriage and right to work state. Those crazy liberals!

          • 0 avatar

            This isn’t about GM management. This is about who wants a seat on the board, and why he wants it, and how he set up this opportunity for wealth transfer in the first place.

  • avatar

    Re Buffett

    1. An additional 1 million shares is 2% of his stake. His total stake is between 1% and 2% of his total portfolio. That is not a core position, and the quarterly change rounds to zero.

    2. Buffett is not an activist investor, so he is going to back management. Or just sell. Or make a phone call if he cares. (very persuasive guy)

    3. The ‘new’ actionable information rounds to zero.

    Never bet against Buffett (never play cards with a guy named Doc, Never eat at a place called Moms, &c) … but I would prefer to put my money in cars as an investment rather than car manufacturing stocks. As a general rule.

  • avatar

    ‘Parasite ‘investors” like Buffett&Soros will make money, but GM will go down with their new ‘financial instrument engineering aplication’ called buy-back (that’s what new, cool & trendy today in corporat-rat-america..)…
    Companies don’t need workers and production anymore .. they just need GolmanSachs to ‘pump’ their stocks and to ‘cook their books’..:) ..

    but the bubble will burst .. pretty soon .. and it’s gonna be pretty ugly ..

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