Warren Buffett has formed an unusual partnership in an effort to acquire Yahoo. The New York Times reports that Buffett and Dan Gilbert, the founder of Quicken Loans and owner of the Cleveland Cavaliers, are joining forces in the quest.
“That consortium is one of several suitors that have moved into the second round of bidding for Yahoo, according to people briefed on the matter,” The Times reports. “Mr. Gilbert is leading the bid, said the people, who were not authorized to speak publicly. Mr. Buffett’s conglomerate, Berkshire Hathaway, is offering to provide financing, as he has done with the investment firm 3G Capital in its takeovers of H. J. Heinz and Kraft, and is leaving the negotiations to Mr. Gilbert, according to the people.”
The report adds: “The unusual presence of Mr. Gilbert and Mr. Buffett in the bidding suggests just how far Yahoo and its advisers have cast their net to find potential buyers for the embattled Internet company.”
Other suitors reportedly include Verizon Communications, the private equity firm TPG Capital and a group made up of Bain Capital and Vista Equity Partners.