Best time to Buy some thing from Goldman Sachs
Warren Buffet's Berkshire Hathway will invest $5 billion in Goldman Sachs. Berkshire Hathway will invest $5 billion in preferred stock at a 10 per cent dividend and Goldman has the right to repurchase the preferred at any time by paying Berkshire a 10% premium.Berkshire will also receive warrants worth $5 billion whch can be converted into common stock any time during the next five years at a strike price of $115 a share
Goldman Sachs will raise at least $2.5 billion in common equity in a public offering. The deal comes at a time when the Wall Street is going through the worst crisis in its history. Over the last month, Wall Street went through a series of events like the US government's taking over of Fannie Mae and Freddie Mac, 158-year old Lehman Brothers Holdings Inc.' filing for the bankruptcy under chapter 11. Founded in 1869, the firm is headquartered in New York
