GM Completes PSA Stock Sale

General Motors Co. has sold its 24.8 million shares in PSA Peugeot Citroen to institutional investors for about €250 million.

GM purchased the 7% stake for €297 million in 2012. The share sale on Thursday prompted PSA's stock price to drop as much as 12% to €9.40 on Thursday.

The equity investment helped the two companies launch a partnership to co-develop and co-produce small MPVs, crossovers and light commercial vehicles and share their purchasing and logistics operations in Europe.

The alliance, which continues, will introduce its first vehicles in 2016.