Article: Buffett to Buy Stake in Salomon Brothers Inc.; Executive to Pay $700 Million for 12 Percent of Wall Street Investment Banking Firm

Warren E. Buffett, whose stock market acumen has made him one the richest independent investors in the country, has agreed to buy a 12 percent stake in Salomon Brothers Inc., one of Wall Street's most prominent investment banking firms, for $700 million.

In a simultaneous announcement today, Salomon said it has agreed to buy out a 12 percent stake in the firm owned by Minerals and Resources Corp. Ltd., a subsidiary of the giant South African conglomerate Anglo-American Corp. Salomon said its agreement with Minorco carries a total price of $809 million.

Wall Street sources said Salomon's deal with Buffett's firm, Berkshire Hathaway Inc., emerged only a week ago, when Minorco disclosed ...

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