Spinoff of General Motors’ EV assets not off the table, says CEO

General Motors

General Motors CEO Mary Barra stated on Wednesday that “nothing is off the table” when it comes to maximizing the worth of the No. 1 U.S. automaker’s electric vehicle efforts, including a potential spinoff of those assets.

Speaking to analysts after the automaker reported a smaller-than-expected loss in a quarter impacted by the coronavirus crisis, Barra responded to a question about whether the automaker would consider a spinoff of its EV operations, due to high investor appetite for companies such as Tesla Inc, Nikola Corp, and Nio Inc.

“We are open to looking at and evaluate anything that we think is going to drive long-term shareholder value, so I would say nothing is off the table,” Barra said.

Barra said that she saw no impediment to such a move.

Previously in the call, Barra addressed a question regarding a name change for General Motors that would emphasize its EV efforts.

“Why not call the company Ultium?” Morgan Stanley analyst Adam Jonas asked, mentioning the automaker’s advanced battery technology.

Barra said the automaker evaluates questions like that given its push to invest in electric vehicles and other advanced technology.

The automaker has to perform, develop new technology, and drive down battery costs, to get Wall Street to care about its stock, Barra said.

“We’ve got to deliver… and demonstrate that we have products people want to buy,” Barra added.

She said General Motors intends to get “our fair share plus more” when asked whether any of its electric vehicles would sell at volumes of 100,000 anually or higher.

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