OMAHA, Neb. (AP) ? Warren Buffett's company says it's changed its warrant agreement with Goldman Sachs Group Inc. to allow it to be settled with stock, cementing its place as a long-term investor.
Berkshire Hathaway Inc. received the right to buy 43.5 million Goldman shares as part of a $5 billion deal it made to bolster the New York-based investment bank during the financial crisis.
Originally, Berkshire could buy Goldman stock for $115 per share until this Oct. 1.
Now instead of Berkshire paying cash for all 43.5 million shares, Goldman will compensate Berkshire with stock for the difference between its stock price this fall and the exercise price.
The deal will likely make Berkshire one of Goldman's top 10 biggest shareholders. Goldman shares are currently 27 percent higher than the exercise price.Associated Press