Electric vehicle startup Tesla Motors’ $226 million IPO in June
marked the first debut by a car maker on Wall Street since Ford Motor
began public trading more than half a century ago. Now two months later,
century-old Detroit automaker General Motors, having emerged from
government-managed bankruptcy, is gearing up for an IPO of its own and
is widely expected to file its prospectus with financial regulators this week for a planned IPO in the fall (shortly before its plug-in Chevy Volt goes on sale).
Despite the fact that GM earned $1.5 billion in its latest second quarter earnings — its biggest profit in six years – and Tesla isn’t expected to turn a profit at least until 2013, the bar for success will be much, much higher for GM than it was for Tesla, say analysts. Tesla’s IPO was all about hope for the future of electric vehicles and green car innovation from a Silicon Valley startup that fancies itself a technology developer akin to Apple or Google. GM’s IPO is about overcoming its long and recently tumultuous past, and about delivering a solid business as a manufacturing company.
To read the full, original article click on this link: What GM & Tesla’s IPOs Say About Innovation & Expectations
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