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Buffett GE Bet Pays Off Topping Crisis Warrant Strike Price
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General Electric Co.’s gain of more than 20 percent this year is validating Warren Buffett’s $3 billion wager that the world’s largest maker of jet engines would rebound after the financial crisis.
GE climbed as high as $22.37 in New York, exceeding the $22.25 strike price of five-year warrants for the first time since Buffett’s Berkshire Hathaway Inc. agreed to buy them in October 2008. The Fairfield, Connecticut-based company has more than tripled since falling to $6.66, the lowest closing price in more than 16 years, in March 2009.