Basically, Greenlight has asked the company to change its capital structure in order to unlock 'substantial shareholder value.' The hedge fund has proposed that GM distribute 'dividend shares' on a tax-free basis.
Greenlight concludes that, "Creating two classes of common stock will unlock GM's value by forcing the market to appropriately value the dividend and give credit for GM's earnings potential.
Regarding how the company responded to these ideas, CNBC's David Faber
He also tweeted: "GM rejected Greenlight proposal citing potential loss of Inv grade rating, governance challenge and uncertain demand for new shares - sources."
Embedded below is Greenlight's presentation: Unlocking Value at GM:
You can download a .pdf copy
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