Japan's SMFG to Invest in Goldman: Report
Sumitomo Mitsui Financial Group plans to invest about 100 billion yen to 300 billion yen in Goldman Sachs, according to a media report Wednesday.
However,
Reuters
reports Sumitomo, Japan's third-largest bank, said it has no plans at this time to invest in Goldman Sachs, disputing a report from
Kyodo
news.
"At this point, it is not true that we've decided to invest in Goldman Sachs," said a Sumitomo spokeswoman, reports
Reuters
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The reports follow Warren Buffett's
Berkshire Hathaway's
announcement it reached a deal to invest up to $10 billion in Goldman.
Goldman said Tuesday it plans to sell $5 billion of perpetual preferred stock to Berkshire in a private offering. The preferred stock has a dividend of 10% and is callable at any time at a 10% premium. In connection with the offering, Berkshire will also receive warrants to buy $5 billion of common stock.
Additionally, Goldman said it would raise at least $2.5 billion through a public equity offering.
This article was written by a staff member of TheStreet.com.
