Automotive giant General Motors (GM) has announced a new $6 billion U.S. stock buyback program.
The share repurchase, which has been approved by GM’s board of directors, comes as a $10 billion U.S. stock buyback program announced in November 2023 ends on June 30 of this year.
The big share repurchases come amid uncertainty surrounding consumer adoption of electric vehicles, which General Motors has invested billions of dollars in.
The Detroit automaker also endured a costly strike last fall when employees represented by the United Auto Workers (UAW) union staged a series of rotating strikes that shutdown production.
A timeframe for completion of the new $6 billion U.S. share repurchase program has not been announced.
The stock of General Motors is up 1% in pre-market trading on news of the stock buyback program.
Over the past 12 months, GM stock has increased 30% to trade at $47.57 U.S. per share.
