New York - Reeling under the weight of the US credit crunch, the giant conglomerate General Electric (GE) is seeking a massive injection of capital through 12 billion dollars in new stock issuance and 3 billion dollars from legendary investor Warren Buffett, the company said Wednesday.
Buffett already rode to the rescue of financial giant Goldman Sachs last week by plunking down 5 billion dollars for a stake in the Wall Street firm, through his holding company Berkshire Hathaway.
GE said that Buffett's stake was guaranteed dividends of 10 per cent. Buffett also acquired an option to buy another 3 billion dollars in stock over the coming five years.