Washington Mutual is close to a deal for a $5 billion infusion of capital from private-equity firm TPG and other investors, The Wall Street...
Washington Mutual is close to a deal for a $5 billion infusion of capital from private-equity firm TPG and other investors, The Wall Street Journal reported Sunday night on its Web site.
The reported deal comes as the Seattle company struggles with lending losses that have pushed its shares down 75 percent in 12 months. The stock fell 11.5 percent Friday to $10.17, valuing the entire company at $8.97 billion.
The Journal said TPG is in talks to take “a substantial minority holding” that would remain below 25 percent. Its stake would be in common and preferred stock.
Other investors “include large current WaMu shareholders, and may also involve other buyout firms,” The Journal reported.
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WaMu CEO Kerry Killinger would retain the post he’s held since 1990, The Journal said.