Billionaire investor Kirk Kerkorian offered to buy 20 million of Ford Motor Company's shares, may buy more and could invest additional capital to help the automaker execute its turnaround plan.
His Tracinda Corp., which Kerkorian wholly owns, is offering $170 million to acquire the shares, or $8.50 per share, according to a securities filing. That would bring his stake in the company to 5.5 percent. The offer expires after June 9.
In late April, Kerkorian revealed that he owned 100 million shares, 4.6 percent of Ford, which Tracinda bought for $691 million.
We are making the offer because we believe Ford is an attractive investment. We do not have a present intent to acquire or influence control over the business of Ford, the company said.
In the filing, Tracinda said depending on business and market conditions we may, from time to time, propose business strategies and, subsequent to the expiration of the Offer, acquire additional shares.
Tracinda also envisions other investments to help the company.
We have explored the possible infusion of additional capital into Ford in order to give it more flexibility in implementing its turnaround process.