Berkshire Hathaway makes an offer on the balance Wesco
Warren Buffett has filed a formal offer for the purchase by Berkshire Hathaway of its 19.9% stake it does not already own in Wesco Financial.
Wesco, which is headquartered in Pasadena, California, is run by Charlie Munger, vice chairman of Berkshire Hathaway.
The transaction in cash and stock should be around 500 million dollars (390 million euros) on the basis of book value at Wesco dated June 30His actual amount will be determined on the basis of the carrying value of the company at the time of the closing of the transaction Warren Buffett hopes that it will happen this year.
In a statement, Wesco said it had established a committee of three independent directors to consider the offer from Berkshire fast cash.There is no guarantee that the transaction is concluded, says the company is mainly active in insurance, furniture rental, and steel.
Warren Buffett, who is aged 80 years, has announced its intention to redeem the remaining Wesco August 26, which has resulted in a leap of 11.8% per share this year.
Wednesday, the stock closed up 46 cents at $ 363, giving the 19.9% stake coveted by Berkshire market capitalization of 514 million.
Berkshire had acquired 80.1% stake in Wesco there are more than 30 years. Charlie Munger, aged 86, is CEO of the group since 1984 and has parallel Vice-Chairman of Berkshire since 1978.