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Kerkorian Added As Signatory to GM Tender
The Associated Press
05/26/05 16:48 EDT
WASHINGTON (AP) - Tracinda Corp. on Thursday said that billionaire
Kirk Kerkorian, the sole shareholder of Tracinda, is being added as
a signatory to its tender offer for up to 28 million General Motors
Corp. common shares.
In a filing with the Securities and Exchange Commission, Tracinda,
the majority owner of casino and hotel operator MGM Mirage, said that
the action is taking place in response to comments by SEC staff .
Still, Tracinda said that it and Kerkorian are not admitting that
Kerkorian is a co-bidder or that he has any obligation in the tender
offer other than his controlling interest in Tracinda.
Earlier this month, Tracinda, based in Beverly Hills, Calif., began
its tender offer for the 28 million GM shares at $31 a share, for a
total purchase price of about $868 million.
Shares of GM rose 46 cents, or 1.5 percent, to close Thursday at
$31.95 on the New York Stock Exchange.
Tracinda said it is making the offer because it believes that recent
trading prices of the shares don't reflect the auto maker's full
value and that the shares represent an attractive investment.
Tracinda has said the offer is for "investment purposes" and does
not mean Kerkorian intends to control GM.
Tracinda owns 22 million GM shares, or about 3.89 percent of the
company, according to a previous SEC filing. Some of these shares
are held by 250 Rodeo Inc., another corporation owned by Kerkorian.
The tender offer will expire June 7.
The Associated Press
05/26/05 16:48 EDT
WASHINGTON (AP) - Tracinda Corp. on Thursday said that billionaire
Kirk Kerkorian, the sole shareholder of Tracinda, is being added as
a signatory to its tender offer for up to 28 million General Motors
Corp. common shares.
In a filing with the Securities and Exchange Commission, Tracinda,
the majority owner of casino and hotel operator MGM Mirage, said that
the action is taking place in response to comments by SEC staff .
Still, Tracinda said that it and Kerkorian are not admitting that
Kerkorian is a co-bidder or that he has any obligation in the tender
offer other than his controlling interest in Tracinda.
Earlier this month, Tracinda, based in Beverly Hills, Calif., began
its tender offer for the 28 million GM shares at $31 a share, for a
total purchase price of about $868 million.
Shares of GM rose 46 cents, or 1.5 percent, to close Thursday at
$31.95 on the New York Stock Exchange.
Tracinda said it is making the offer because it believes that recent
trading prices of the shares don't reflect the auto maker's full
value and that the shares represent an attractive investment.
Tracinda has said the offer is for "investment purposes" and does
not mean Kerkorian intends to control GM.
Tracinda owns 22 million GM shares, or about 3.89 percent of the
company, according to a previous SEC filing. Some of these shares
are held by 250 Rodeo Inc., another corporation owned by Kerkorian.
The tender offer will expire June 7.