- Global Selloff From Dubai Shows Signs of Winding Down
- Dubai Stock Selloff May Bring Buying Opportunity
- Longer Lines, Fuller Carts This Black Friday
- Tiger Woods Out of Hospital After Accident
- Dubai Fallout Is a Correction, Not Another Crisis: El-Erian
- Dubai's Debt Woes Signal New Era for Creditors
- Get Paid Six Figures to Wear a T-Shirt?
- The World's Biggest Debtor Nations
- Five Tips for Buying a Foreclosed Home
- U.S. Stocks Fall on Dubai Worries
- Black Friday at Best Buy
- Strategists on Dubai: Avoid 'Rash Moves' Now
- Longer Lines, Fuller Carts This Black Friday
- Dubai Stock Market Fear Has 'Legs': Dennis Gartman
- Obama's Emission Reduction Pledge Paints Future for Autos
- Is Super Bowl Halftime Act Too Old?
- Surprising Options Trades in TiVo Shares
- EA Sports Hopes to Pump Up Sales Through Pop-Up Locations
MOST SHARED
- Tiger Woods Out of Hospital After Accident
- The Good Entrepreneur Winner
- Get Paid Six Figures to Wear a T-Shirt?
- Dubai Spooks Investors But May Bring Buying Opportunity
- Global Selloff From Dubai Woes Shows Signs of Winding Down
- Longer Lines, Fuller Carts This Black Friday
- 8 Retailers that Gain During the Holidays
- Halftime Report: Dubai - First Ripple Of Larger Crisis?
- Some of Dubai World's Major Holdings Around Globe
- Next Week: Cash In Now Or Wait For A Santa Rally?
Text Size 
U.S. private equity firm TPG and other investors are near a deal to invest around $5 billion in U.S. thrift Washington Mutual, a source familiar with the situation said.
 |
The Wall Street Journal said the other investors include large shareholders of the Seattle-based lender and may also involve other buyout firms, but noted that an agreement was yet to be finalized. (Video: CNBC's David Faber discusses the implications of a potential cash infustion)
According to the report, the investment looks like it could be both a common- and preferred-stock offering, adding that the preferred stock could be later converted to common shares, subject to a shareholder vote.
Also, TPG is expected to get a seat on the company's board, the WSJ said.
The U.S. government was not directly involved in shaping the deal, though banking regulators were likely made aware of WaMu's plans, the Journal said, citing sources familiar with the matter.
The plan sets aside the possibility of JPMorgan Chase [JPM
Loading...
()
] potentially buying Washington Mutual at least for now, the report said.
JPMorgan made a preliminary offer for Washington Mutual after studying its financial state since March, but talks between the two firms stopped last week, the Journal said, quoting a person familiar with the situation.
Washington Mutual [WM
Loading...
()
], the largest U.S. savings and loan, has suffered heavy losses from the national mortgage crisis.
In January, the lender said it expected to set aside as much as $2 billion for credit losses in the current quarter.
A Washington Mutual representative was not immediately available for comment.
Thrifts -- so named because they originally offered only savings accounts -- have evolved into offering a range of financial products and make business and consumer loans as well as residential mortgages.
The thrift crisis of the 1980s closed many of them and their number has continued to decline as differences have narrowed between them and banks.
Print
Email
- These four sectors will be the next to lead the market.
- Zhu Zhu Pets are this year's must-have toy, fetching $40 or more on eBay.
- From the why-didn’t-I-think-of-that file, we present Jason Sadler, a man whose job is wearing T-shirts.
- It may be the most unusual guide to business you'll read.
- Shopping for a gadget hound? The choices can be baffling. Here are a few that should be a hit.
- "The Who" will be the halftime act for Super Bowl XLIV on Feb. 7 in Miami. Is the NFL behind the times?
Data is a real-time snapshot *Data is delayed at least 15 minutes