Ally Financial Launches IPO to Repay Government
Ally Financial announced it launched an IPO of shares of its common stock. The shares will be offered by the U.S. Department of the Treasury as part of its planned exit of its investment in Ally.
Ally Financial announced it launched an IPO of shares of its common stock. The shares will be offered by the U.S. Department of the Treasury as part of its planned exit of its investment in Ally.
Ally Financial announced it completed a private placement and repaid the U.S. Treasury $5.9 billion toward the investment that was made in the company. Ally said with the payment it has returned more than 70% of the original investment.
Reuters reported that a bankruptcy court judge approved a settlement in which government owned Ally Financial will pay $2.1 billion to its bankrupt unit Residential Capital.
Bloomberg reported that Residential Capital won court permission to repay more than $1.9 billion in debt immediately, including $1.1 billion to parent Ally Financial.
Bloomberg reported that unsecured creditors of its Residential Capital unit may sue Ally Financial which may owe $25 billion for creating a mortgage securitization mess.
Ally Commercial Finance hired Sanjeev Narayan as a managing director in the Healthcare Capital Group. He has previously worked in the healthcare groups at Fifth Third, Union Bank and Merrill Lynch Capital.