Kuwait may invest in Merrill says paper
New York, January 14, 2008
US investment bank Merrill Lynch & Co Inc is seeking about $4 billion in a second capital raising, a report said.
The Kuwait Investment Authority is expected to be a significant investor in the new deal, the Financial Times reported, citing people familiar with the matter.
A deal could be announced as soon as midweek, the paper said, citing those people. It added that other investors could come from Europe.
Merrill Lynch was not immediately available for comment.
In December, Merrill Lynch shored up its capital base by as much as $7.5 billion after selling a stake to Singapore's government and an asset manager.
Merrill is scheduled to report earnings this week.
The New York Times on Friday reported Merrill was expected to suffer $15 billion in losses stemming from bad mortgage investments, almost twice the company's original estimate. -Reuters