WaMu Now Trying Harder Than Ever To Save Itself

Washington Mutual continues its slow move towards…something.

WSJ: Washington Mutual Inc. is accelerating efforts to raise more capital or potentially sell itself, reaching out to potential suitors and instructing its investment bankers to step up their efforts to help the struggling thrift escape its mortgage woes.

The push got another boost Wednesday when private-equity firm TPG, which led a $7 billion infusion at WaMu in April, gave the Seattle company an important concession that will make it easier to attract additional cash. Terms of the April deal gave TPG the right to get more shares if WaMu issued fresh equity at a price of less than $8.75 a share.

…WaMu has received expressions of interest from Wells Fargo & Co., Citigroup Inc. and other large banks, including one based outside the U.S., according people familiar with the situation. Another potential suitor, J.P. Morgan Chase & Co., made an unsuccessful bid for WaMu earlier this year.

Goldman Sachs Group Inc., an adviser to WaMu for months, has been instructed to pursue strategic alternatives for the thrift, one person familiar with the matter said.

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