Daily News: May 18, 2012

Bloomberg: Buffett Said to Have Pursued ResCap Purchase

Bloomberg reported billionaire Warren Buffett sought to buy Residential Capital from Ally Financial before the government-owned company put the home lender in bankruptcy.

Buffett assigned former hedge-fund manager Ted Weschler to negotiate an offer with Ally, according to people familiar with the mattter, who requested anonymity because the talks were private. Buffett’s Berkshire Hathaway Inc. would have paid almost nothing upfront for the assets, while taking on potential liabilities such as mounting litigation costs and other claims, the people said.

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