General Motors Company (NYSE:GM) has ended the investors bid for a seat in the board by agreeing to a deal with the investors group and accepting to buyback shares worth $5 billion. General Motors Company (NYSE:GM) also announced that it will maintain a cash balance of $20 billion and will plan to return the excess to shareholders either as dividends or through repurchases. Maeva Group Chairman and CEO, Harry Wilson was part of the investor group which had sorted out the deal with General Motors Company (NYSE:GM)’s CEO Mary Barra. Meanwhile, Wilson talked on CNBC about his outlook for General Motors Company (NYSE:GM).
Wilson said that General Motors Company (NYSE:GM) has already done a lot of things to improve the product line and margins. He mentioned that they have done a lot of things to improve the margins of their products. He added that they have done things necessary to reinvent Cadillac brand with new leadership.
Wilson pointed out that their SUV’s were a huge success, but he added that General Motors Company (NYSE:GM)’s Sedans has done particularly well in the last few quarters. He said that General Motors Company (NYSE:GM) has worked a lot to improve the quality of its products.
“They have done more quality wars in the last 5 years, that probably the last 25 years and so they have done a really good job in improving. The public perception is not fully caught up with that, if you read consumer reports, [..] they all extol significant improvement in quality of the GM Fleet,” Wilson Said.
He mentioned that the product engineering team has done a lot of good work to achieve this. He added that there is a lot of innovation going on in the automotive industry. He pointed out that the three key features of innovation in automotive industry includes power train, in car electronics and safety. He feels that General Motors Company (NYSE:GM) still lags behind Tesla Motors Inc (NASDAQ:TSLA) In powertrain. He feels that General Motors Company (NYSE:GM) can still monetize their position in incar electronics and like all other OEM’s GM is also doing a lot of innovation to improve the safety features of the cars.
He feels that there is positive outlook for General Motors Company (NYSE:GM) ten years from now.
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