Berkshire Hathaway Inc.

Description

Occidental Petroleum Corp. announced April 30 that, in connection with the financing of Occidental’s proposal to acquire Anadarko Petroleum Corp., Berkshire Hathaway Inc. has committed to invest a total of $10 billion in Occidental. The investment is contingent upon Occidental entering into and completing its proposed acquisition of Anadarko.

Berkshire Hathaway will receive 100,000 shares of cumulative perpetual preferred stock with a liquidation value of $100,000 per share, together with a warrant to purchase up to 80 million shares of Occidental common stock at an exercise price of $62.50 per share. The preferred stock will accrue dividends at 8% per annum (or with respect to dividends that are accrued and unpaid, 9%).

On April 24, Occidental made a proposal to acquire Anadarko for $76 per share, comprised of $38 in cash and 0.6094 shares of Occidental common stock per Anadarko share.

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Estimated Price
$10,000.0MM
Financing Type
Report Date