Warren Buffett’s Berkshire Hathaway Inc. (NYSE:BRK.A,BRK.B) has acquired a significant stake in Pilot Flying J.
Warren Buffet’s company has acquired a 38.6% stake in Pilot Flying J. While this isn’t a small stake in the company, it doesn’t have Berkshire Hathaway Inc. holding the largest stake. That still belongs to the Haslam family with its 50.1% ownership of the truck stop chain, for now.
Warren Buffett’s stake in Pilot Flying J won’t require much in the way of changes. The company will continue to operate out of its current headquarters in Knoxville, Tenn. Jimmy Haslam will also remain as the CEO of the chain and its current management team will be sticking around.
The deal that Berkshire Hathaway Inc. has with Pilot Flying J will eventually have it obtaining a majority stake in the company. This is set to take place in 2023. At this time, Warren Buffett’s company will obtain an additional 41.4% stake in the chain. This will leave the Haslam family with a 20% stake in the truck stop company. The family will continue to be involved with Pilot Flying J after this change.
“Jimmy Haslam and his team have created an industry leader and a key enabler of the nation’s economy,” Warren Buffett, President, CEO and Chairman of Berkshire Hathaway Inc. , said in a statement. “The company has a smart growth strategy in place and we look forward to a partnership that supports the trucking industry for years to come.”
BRK.A and BRK.B shares were up slightly as of Tuesday morning.
As of this writing, William White did not hold a position in any of the aforementioned securities.
