Buffett TO BUY Goldman Sachs
The world richest man Mr. Warren Buffett has come to save the world from the financial turmoil. His company Berkshire Hathaway Inc said on Tuesday that they would be investing at least $5 billion in Goldman Sachs Group Inc. In addition to buying $5 billion in preferred stock, Warren Buffett’s company also got warrants to buy another $5 billion in Goldman’s common stock. Goldman said that they would raise another $2.5 billion in its own public stock offering. Buffett, one of the most successful investors in history, did not mention what is happening in Washington, but he praised the ‘Goldman Sachs’, the New York-based firm. According to him “It has an unrivaled global franchise, a proven and deep management team and the intellectual and financial capital to continue its track record of out performance.” This will be Buffett’s second major foray into Wall Street. Before this Berkshire Hathaway invested in Salomon Brothers Inc in late 1980s. when the investment firm admitted wrongdoing in bidding for US Treasury bonds in 1991