One of this week’s big news with Warren Buffett is that at the beginning of the week, he made an acquisition proposal on Lubrizol Corporation (LZ, Financial) for $9.0 billion in cash. Berkshire is also going to assume $700 million in debt, making the total value of the deal of $9.7 billion.
The price tag is about a quarter of $38.2 billion cash and equivalents Berkshire Hathaway had on its balance sheet.
WSJ has an article today analyzing why Mr. Buffett spent $10 billion by Brett Arends, entitled “Why Warren Buffett Just Spent $10 Billion”. The article lists nine reasons why Mr. Buffett loves Lubrizol:
Read the full article here.
Also check out:
The price tag is about a quarter of $38.2 billion cash and equivalents Berkshire Hathaway had on its balance sheet.
WSJ has an article today analyzing why Mr. Buffett spent $10 billion by Brett Arends, entitled “Why Warren Buffett Just Spent $10 Billion”. The article lists nine reasons why Mr. Buffett loves Lubrizol:
- It has a lucrative niche.
- It has a wide moat. [*It's in a dull industry.
- It has pricing power.
- It's stable.
- It benefits from overseas growth.
- It has low unionization.
- The stock was reasonably priced.
- He likes the management.
Read the full article here.
Also check out:
