Tuesday, December 04, 2007

Buffett buys $2B in TXU bonds

Warren Buffett's Berkshire Hathaway is buying more than $2 billion worth of junk, or high-yield, bonds issued by the former TXU Corp., the investor told CNBC on Monday.

Fortune magazine first reported the billion-dollar buyup over the weekend, citing a source close to the deal.
Private equity firms TPG Capital and Kohlberg Kravis Roberts & Co. bought Dallas-based power company TXU Corp. for $32 billion this year. The deal closed Oct. 10 and the new private owners renamed TXU Energy Future Holdings Corp.
According to Fortune, Berkshire Hathaway bought into two different TXU bond issues for 95 cents on the dollar and 93 cents per dollar, giving it effective yield of more than 11% in both instances.
Buffett has benefited from investing in TXU before. He bought TXU stock in 2002 when the company was near bankruptcy, and sold for a profit in 2004.
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ICICI Bank

ICICI Bank is India's second-largest bank with total assets of Rs. 3,446.58 billion (US$ 79 billion) at March 31, 2007 and profit after tax of Rs. 31.10 billion for fiscal 2007. ICICI Bank is the most valuable bank in India in terms of market capitalization and is ranked third amongst all the companies listed on the Indian stock exchanges in terms of free float market capitalisation*. The Bank has a network of about 950 branches and 3,300 ATMs in India and presence in 17 countries. ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialised subsidiaries and affiliates in the areas of investment banking, life and non-life insurance, venture capital and asset management. The Bank currently has subsidiaries in the United Kingdom, Russia and Canada, branches in Singapore, Bahrain, Hong Kong, Sri Lanka and Dubai International Finance Centre and representative offices in the United States, United Arab Emirates, China, South Africa, Bangladesh, Thailand, Malaysia and Indonesia. Our UK subsidiary has established a branch in Belgium.
ICICI Bank's equity shares are listed in India on Bombay Stock Exchange and the National Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE).