General Motors Corp. on Monday said it agreed to sell a 51 percent stake in its financing arm, General Motors Acceptance Corp., to a consortium led by hedge fund Cerberus Capital Management LP for a total of $14 billion.
The long-awaited sale will generate much-needed cash for the world’s largest automaker, which reported a $10.5 billion loss in 2005. GM hopes the move may also help to restore the financing unit’s credit rating to investment-grade status.
