Posted on 02/17/2016 1:39:28 PM PST by bananaman22
American billionaire Warren Buffett, through his Nebraska-based company Berkshire Hathaway Inc. (NYSE: BRK-A), has acquired a $400 million stake in struggling pipeline company, Kinder Morgan (NYSE: KMI).
According to a Berkshire Hathaway US Securities and Exchange Commission filing, the 26.53 million shares of Kinder Morgan are valued at $395.8 million.
The purchase adds to Buffett’s oil interests, which includes a recently purchased 14.3 percent stake in oil refiner Phillips 66 at a time when other oil and gas investors are looking for the exit. True to Buffett’s form, the Kinder Morgan purchase came shortly after its stock price fell 53 percent in the fourth quarter and 63 percent in the last 12 months, closing the year at $14.92 per share.
(Excerpt) Read more at oilprice.com ...
To further clarify, there are 2.23 billion shares outstanding for a market cap of $38.34 billion. Buffett owns 26.3 million shares, which is a little more than 1% of the total company.
The shares he bought are an addition to the 14% of KMI he already owns.
It’s a large stake to be sure, but he doesn’t come close to controlling the company as some upthread posters would like to think.
All we have is Betty Roosevelt Obama.
Buffett opposed Keystone because his railroad was transporting the oil from Alberta to the Gulf coast refineries. He stood to lose a fortune if the pipeline went through.
Now he stands a chance at controlling the pipeline.
I think you’ve been misinformed. Just because he owns rail stock doesn’t mean he’s against pipelines. He can buy pipe line companies as easily as he bought railroad companies. There is also the link in post #8 on this thread. Note the date.
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