The U.S. Department of the Treasury today announced the completion of the first pre-defined written trading plan for Ally Financial common stock.
Treasury sold 8.89 million shares and recovered approximately $218.7 million for taxpayers. With the conclusion of the first trading plan, Treasury now holds 66.2 million shares of common stock, or approximately 13.8%, of Ally.
At one point Ally Financial was one of the top 10 mortgage lenders in the United States, but it exited the mortgage finance space after the housing crash.
Treasury also announced that it would continue to sell Ally common stock through a second pre-defined written trading plan.
“Treasury’s sale of additional common stock continues our effort to wind down the investment in Ally and the Troubled Asset Relief Program,” said Chief Investment Officer Charmian Uy. “The second trading plan will allow us to continue exiting the investment in a manner that balances speed of exit with maximizing the taxpayer’s return.”
Treasury’s second trading plan of Ally common stock is part of its continuing effort to wind down TARP. Taxpayers have now recovered approximately $18 billion on the Ally investment, roughly $873 million more than the original $17.2 billion investment.
To date, taxpayers have recovered a total of $440 billion on TARP investments including the sale of Treasury’s AIG shares, compared to $425.2 billion disbursed.