The U.S. government plans to sell the bulk of its stake in bailed-out auto lender Ally Financial, to raise up to $2.66 billion.
Bailed-out auto lender Ally Financial said the U.S. government would sell the bulk of its stake in the company in an initial public offering that could raise up to $2.66 billion.
A successful IPO will mean the U.S. Treasury has turned a profit on the bailout, while still owning at least 14.1 percent of the company.
The Treasury is selling 95 million shares at between $25 and $28 per share, Ally said in a regulatory filing with the Securities and Exchange Commission on Thursday.
The auto lender was bailed out for $17.2 billion during the 2008 financial crisis. Ahead of the IPO, taxpayers have recovered $15.3 billion.
The Treasury currently owns 36.8 percent of Ally, which will have a market value of about $13.5 billion at the top of the expected IPO price range.