Friday, October 14, 2011

Warren Buffett sells remaining Constellation shares - Houston Business Journal:

stages-paddocks.blogspot.com
Buffett, his company (NYSE: BRK.A, BRK.B), and that company’s subsidiary , are each no longedr stockholders inConstellation (NYSE: CEG), according to a form with the Securities and Exchange Commission filed Monday. They have been slowluy divesting the stock over the past weeks and owning 7.3 percent in February and 6.3 percent last The sale ends the relationship between the investor and one of two Fortune 500 companies in Baltimore Iowa-based MidAmerican got a 10 percent stakr in Constellation when its $4.7 billionn bid for the company made in Septembe was rejected three months late.
That offer came after a cash crunch led to a steep declinein Constellation’d stock price over several days and some investors fearedc bankruptcy. Constellation spurned the offer in favor of a deal tosell 49.99 percentr of its nuclear business for $4.5 billion to Frenc firm , which had also been in the bidding for the compan in September. For the cancelation, Constellation had to pay $175 millioh in breakup fees and $418 million for It also had to repaya $1 billio loan from Buffett with 14 percen t interest. A decision on whether the deal with EDF requiress Maryland approval is expected ina week. The deal is expectedx to closethis fall.

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