Berkshire takes stake in Axalta

Berkshire Hathaway has brought an 8.7 per cent stake in Axalta from controlling shareholder Carlyle Group for $560 million.

Warren Buffett’s Berkshire is buying 20 million shares at $28 per share, a slight discount to the stock’s Monday closing.

Berkshire Hathaway is a multinational conglomerate holding company which has 100% ownership in Berkshire Hathaway Automotive, one of the largest dealership groups in America with over 81 independently operated dealerships, and the second largest automotive insurer in the US, GEICO Auto Insurance.

Axalta, the Dupont unit which Carlyle bought for $4.9 billion in February 2013, makes liquid and powder coatings for the automotive and transportation industries.