In early December, General Motors’ chances of finding a highly rated financial institution interested in taking a controlling stake in GMAC, its finance subsidiary, were receding. The plan, announced in October and intended to take the unit back to investment-grade status and lower its cost of capital, hit a major obstacle when Wells Fargo and Bank of America, two of the most likely contenders for a stake, said they weren’t interested.
With that, spreads on GMAC’s bonds slumped to a seven-week low.
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