The U.S. Treasury Department plans to sell more than half of its remaining shares of Ally Financial Inc. as part of an initial public offering of the auto lender, the Wall Street Journal reported today. The Treasury said yesterday that it intends to sell 95 million shares in its latest move to further wind down its ownership stake. Ally and Treasury said Thursday that the agency would offer the shares at $25 to $28 apiece. In total, the deal could raise $3.06 billion, Ally said. The Treasury, which currently owns 177.3 million shares of Ally, also granted underwriters the option to buy an additional 14.25 million shares. The move is another milestone for the Detroit-based company that teetered on the brink of collapse during the financial crisis, weighed down by losses and litigation tied to subprime mortgages. To keep Ally afloat, the Treasury provided $17.2 billion in rescue funds to the company through the Troubled Asset Relief Program. To date, the government has recouped about $15.3 billion of that amount.
