Hot on the heels of Berkshire Hathaway Energy’s acquisition of Dominion Energy’s 50 percent stake in the Cove Point LNG facility in Maryland, the company may have another acquisition opportunity on the horizon.
On Thursday, July 27, American Electric Power’s president & CEO Julie Sloat said during an earnings conference call that the utility company would be divesting its non-regulated assets.
“When people buy AEP shares or invest in our bonds, they’re not necessarily looking to buy something that is not a traditional regulated utility type of business,” Sloat noted.
The company has a minority stake in Prairie Wind Transmission, which is co-owned with Berkshire Hathaway Energy and Evergy. As of June 30, AEP’s stake was valued at $19 million.
Berkshire Hathaway Energy, which owns 25 percent of Prairie Wind Transmission, and Evergy, which owns 50 percent, are the likely suitors, and the only question is which company will end up with AEP’s stake.
In addition to Prairie Wind Transmission, AEP will be divesting its ownership in Pioneer Transmission, which it co-owns with Duke Energy, and its stake in Transource Energy, its majority-owned joint venture with Evergy.
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
When you see an investor such as Warren Buffett buying whole companies, you might think that as a small investor you can’t get the bargains that huge investors can get. However, Buffett disagrees. Although he prefers to buy whole companies, he recognizes that buying pieces of companies often represents better value, as you don’t have to pay a premium for them.
“We’ve always wanted to acquire entire businesses. People never seem to really believe that, back when we were buying See’s Candy or the Buffalo News or National Indemnity. But that’s been our number one preference right along,” Buffett said at the 1999 Berkshire Hathaway annual meeting. “It’s just that we’ve found that much of the time we could get far for more our money, in terms of wonderful businesses, by buying pieces in the stock market, than we could by negotiated purchase.”
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
Berkshire Hathaway’s Mouser Electronics, Inc. and Analog Devices, Inc., a global semiconductor leader, have pledged to donate funds to One Tree Planted with the goal to plant up to 50,000 trees across the United States.
Starting now, for every Mouser order placed in the U.S. region including at least one line of ADI products, One Tree Planted will plant a tree in reforestation projects across the U.S. with a focus on urban forestation and forest fire recovery.
This North American program is an extension of a successful 2023 charitable initiative underway in Europe where Mouser and ADI have seen over 65,000 orders placed so far, to be equally divided between projects supporting Climate Resilient Restoration in Germany, Essex Forest Initiative in England and Nationwide Community Tree Cover in Ireland. The trees will be planted in Fall during the planting season.
“At Mouser, we are strongly committed to making a positive impact on our communities, and we are excited to expand this charitable program to the United States. Together with ADI, we can contribute to helping restore forests, habitats, wildlife and more,” says Kevin Hess, Senior Vice President of Marketing at Mouser.
One Tree Planted is a non-profit group focused on global reforestation. As an official partner of the United Nations Decade on Ecosystem Restoration, they have planted over 40 million trees in more than 47 countries across the globe since 2014. In 2021, they planted over 23.5 million trees, more than doubling their impact from 2020. They seek to re-establish woodland, improve water and soil quality, as well as create habitats for wildlife in areas that were historically forested.
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
What a difference a week makes for Berkshire Hathaway-backed BYD, the world’s leading manufacturer of new energy vehicles. Just a week after BYD proposed building a $1 billion battery and automotive facility in India in partnership with Hyderabad-based Megha Engineering and Infrastructures Ltd., the plan now looks to be dead.
The Modi government has reportedly rejected the joint proposal citing security concerns “security concerns” in regards to Chinese investments in India.
BYD and Megha had proposed building up to 15,000 EV automobiles annually in the facility. The proposed joint venture would have combined Megha’s capital and BYD’s expertise in EV manufacturing.
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway and BYD, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
Few can hope to reach the heights of investing genius embodied by Warren Buffett. However, Buffett himself humbly suggests that the majority of profitable investments do not spring from extraordinary brilliance, but rather arise from astutely capitalizing on the missteps of others. In essence, success in the realm of investment hinges on an ability to recognize and seize upon the errors committed by one’s counterparts. This notion underscores the critical importance of a shrewd and discerning mindset in navigating the complex and ever-shifting terrain of financial markets.
“What gives you opportunities is other people doing dumb things,” Buffett said at the 2023 Berkshire Hathaway annual meeting. “Well, the 58 years we’ve been running Berkshire, I would say there’s been a great increase in the number of people doing dumb things. And they do big, dumb things, and the reason they do it to some extent is because they can get money from other people so much easier than when we started.”
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
Berkshire Hathaway Specialty Insurance (BHSI) has announced the appointment of David Corrigan as the Head of Property for the UK. In his new role, Corrigan will be responsible for overseeing the underwriting of BHSI’s comprehensive line of property coverage, which encompasses a wide range of risks, including Construction, Energy, and Mining.
Corrigan’s appointment comes as BHSI aims to grow its customer and broker relationships in the region and drive growth across its property portfolio in the UK and Europe. Nick Major, the UK Country Manager at BHSI, expressed his enthusiasm for working with Corrigan, highlighting his extensive experience and alignment with BHSI’s technical underwriting approach.
With over 25 years of experience in the UK large corporate property market and the London Market wholesale segment, Corrigan brings a wealth of expertise to BHSI. He previously served as the Head of Property for Global Corporate & Specialty at Aviva for a period of five years.
Corrigan will be based in London, further positioning BHSI to effectively serve its customers and stakeholders in the region. His appointment reflects BHSI’s commitment to attracting top talent and leveraging their skills to support the company’s growth objectives.
As BHSI continues to expand its presence in the UK and Europe, the addition of David Corrigan as the Head of Property demonstrates the company’s dedication to providing comprehensive property coverage and further solidifying its position in the insurance market.
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
BYD, the Chinese automobile manufacturer backed by Berkshire Hathaway, has made a significant stride in the Brazilian market with the official launch of the BYD DOLPHIN, its first pure electric model featuring its Ocean Aesthetics design.
Notably, during the launch day, an average of two units were sold every five minutes.
Having led the electric vehicle market in China for nine years and selling over 4.3 million new energy vehicles worldwide, BYD now extends its electrification wave to Brazil with the arrival of the BYD DOLPHIN.
Stella Li, the Executive Vice President of BYD and CEO of BYD Americas, expressed pride in being the first manufacturer to cease production of cars powered solely by internal combustion engines.
Tyler Li, the General Manager of BYD Brazil, emphasized the company’s commitment to providing competitive new energy models for Brazilian consumers. He stated with confidence that the BYD DOLPHIN is an excellent choice and serves as a gateway for those aspiring to own an electric car. By combining quality, advanced technology, and sustainability, BYD aims to meet the needs and preferences of the Brazilian market.
The BYD DOLPHIN, the first model designed with the Ocean Aesthetics design language, was created under the guidance of Wolfgang Egger, the Design Director of BYD. Drawing inspiration from marine elements, the vehicle showcases a vibrant and dynamic overall style. With a 2,700 mm wheelbase, the BYD DOLPHIN offers an exceptional interior space, ensuring heightened passenger comfort.
Distinguished as the first mass-produced pure electric model built on the e-platform 3.0, the BYD DOLPHIN leverages an 8-in-1 electric powertrain, significantly enhancing safety and cruising range. Equipped with the ultra-safe Blade Battery, the model boasts a pure electric cruising range of 405 km under NEDC conditions, providing consumers with a reliable and secure driving experience. Additionally, the Blade Battery charges from 30% to 80% in an impressive 30 minutes using DC charging.
The BYD DOLPHIN also offers an enjoyable and futuristic driving experience. Its intelligent cockpit system, featuring a 12.8-inch rotatable touchscreen, enables intelligent voice control, CarPlay System integration, and remote vehicle control via mobile devices. Furthermore, the model’s vehicle-to-load (VTOL) charging function caters to various outdoor power needs, further enhancing convenience for users in different scenarios.
The BYD DOLPHIN is the fifth new energy passenger car introduced by BYD in the Brazilian market. Building upon the success of previous models such as the BYD TANG, BYD HAN, BYD YUAN PLUS, and BYD SONG PLUS.
In the passenger vehicle segment, BYD has already established 24 dealership stores throughout Brazil. Looking forward, BYD aims to expand its presence even further, with plans to reach a total of 100 stores by the end of this year. This strategic expansion highlights BYD’s commitment to providing top-notch sales and after-sales services to meet the demands and expectations of Brazilian customers.
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway and BYD, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
Warren Buffett, in his characteristic wisdom, emphasizes that investors need not dwell on a business’s past actions but should instead focus on its future endeavors. He understands that the past is not always a reliable predictor of a company’s trajectory. For Buffett, true investing lies in peering into the horizon, discerning the opportunities that lie ahead. As he aptly puts it, “That’s what investing is, is seeing out.”
“You don’t get paid for what’s already happened. You only get paid for what’s going to happen in the future,” Warren Buffett said at the 2007 Berkshire Hathaway Annual Meeting. “The past is only useful to you in the extent to which it gives you insights into the future, and sometimes the past doesn’t give you any insights into the future.”
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
Berkshire Hathaway’s BNSF Railway has been recognized as a “Best Place to Work for Disability Inclusion” by the esteemed Disability Equality Index (DEI). With an impeccable score of 100, BNSF has showcased its unwavering dedication to cultivating an inclusive workplace that honors the talents and contributions of every individual, including those with disabilities.
The Disability Equality Index, an all-encompassing benchmarking tool collaboratively developed by the American Association of People with Disabilities (AAPD) and Disability:IN, commends organizations that actively champion disability inclusion and parity. By attaining the highest score, BNSF secures its position among the industry’s foremost companies committed to constructing diverse and inclusive work environments.
Debra Ross, BNSF’s Assistant Vice President of Talent Management, expressed her profound pride in the company’s remarkable accomplishment.
“At BNSF, we firmly subscribe to the belief that diversity and inclusion must encompass everyone,” asserted Ross. “We feel deeply honored to receive this prestigious accolade, a testament to our unwavering endeavors in supporting individuals with disabilities and forging an environment where every employee feels empowered to embrace their authentic selves wholeheartedly, every single day.”
BNSF’s commitment to nurturing a diverse and inclusive workforce is unmistakable through its array of business resource groups, notably the Disability Inclusion Alliance. These groups work tirelessly to promote awareness, education, and equitable access to resources within the organization.
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.
BYD, the Chinese automobile manufacturer backed by Berkshire Hathaway, announced the signing an agreement to establish its presence in Brazil’s state of Bahia. What makes this endeavor truly remarkable is that BYD will simultaneously commence operations in three factories within the Camaçari complex, located just 50 kilometers away from the vibrant city of Salvador.
This groundbreaking venture, with an investment exceeding R$ 3 billion (US$620 million), sets a historic milestone in the Brazilian automotive industry. However, it goes beyond mere vehicle production. BYD’s audacious mission, encapsulated in the slogan “Cool the Earth by 1°C,” represents a resolute commitment to energy transition and sustainable mobility. In essence, it signifies an irreversible green revolution.
The establishment of domestic production facilities by BYD holds the promise of more competitive prices and opens up the possibility for the car-loving population to realize their modern-era consumer dream: owning an electric vehicle parked in their garages.
The ambitious complex will comprise three distinct manufacturing units, each serving a specific purpose. One unit will be dedicated to the production of chassis for electric buses and trucks, providing a solid foundation for the future of sustainable transportation. The second unit will focus on manufacturing hybrid and electric automobiles, with an estimated capacity of 150,000 units per year during the initial phase. Lastly, the third unit will specialize in the processing of lithium and iron phosphate, catering to the global market.
Leveraging the existing port infrastructure at the location, this unit will play a crucial role in meeting the growing demand for these essential materials.
Stella Li, the Executive Vice President of BYD and CEO of BYD Americas, emphasizes the significance of this moment for BYD in the Americas. She states, “These new factories in Bahia will bring innovation and the highest standards in technology. This will enable the introduction and acceleration of electromobility in the country, a pivotal movement in combating climate change and enhancing people’s quality of life.”
The three factories are scheduled to commence operations in the second half of 2024, heralding a new era of sustainable automotive manufacturing in Brazil. In addition to the positive impact on the environment, this endeavor is expected to generate over 5,000 jobs in the coming years. Tyler Li, the President of BYD Brazil, stresses the social contribution of the project, saying, “We aim to hire local labor starting this year to provide them with the necessary training and knowledge transfer. At BYD, we are deeply committed to creating value and making a meaningful difference in the lives of Brazilians.”
BYD’s new complex is poised to attract suppliers from various sectors, including technical parts and services. The company is determined to contribute to regional development by giving priority to local suppliers. Furthermore, for civil construction works, BYD plans to prioritize hiring established companies in the region, fostering economic growth and synergy within the local business community.
As BYD forges its path in Bahia, it not only brings an unprecedented manufacturing venture to Brazil but also carries with it a vision of a greener future. With its resolute commitment to energy transition and sustainable mobility, BYD is setting a new standard in the automotive industry, paving the way for a world where innovation and environmental responsibility go hand in hand.