Oct 8 Warren Buffett's Berkshire Hathaway Inc
disclosed a 2.8 percent passive stake in Goldman Sachs
Group Inc as it converted warrants acquired during the
Buffett received the warrants five years ago when his
investment in Goldman was seen as a vote of confidence in the
bank, which was reeling from turmoil in the credit market.
Under Buffett's deal with Goldman, Berkshire had the right
to buy about 43.5 million Goldman shares - or a roughly 9
percent stake then - at an exercise price of $115 per share.
Goldman had amended the deal in March, which gave Berkshire
a much smaller stake but did not require it to commit any
capital to exercise the warrants.
Reuters reported last week that Berkshire would convert the
warrants into shares equal in value to the difference between
the warrants' exercise price and the average closing price for
Goldman shares in the 10 trading days up to Oct. 1.
The billionaire investor disclosed the stake of 13.06
million shares as of Oct. 1 in a regulatory filing late on
The stake, valued at about $2 billion based on Goldman's
Tuesday close of $153.05, makes Berkshire the sixth-largest
external investor in the bank, according to Thomson Reuters