In the world of investing there’s a saying about “renting” Warren Buffett’s name. Since an investment by Buffett has a tendency to boost the share price of the company invested in, he’s long been able to command good terms ahead of committing capital to a corporation. These terms include warrants that position Buffett to buy shares in the future at potentially steep discounts.
Companies are said to readily agree to Buffett’s terms. Again, it’s a good deal. His reputation as a stock picker means businesses get a boost when the Oracle of Omaha associates himself with them.
Read Full Article »