Berkshire Hathaway eyes $1.8 billion stake in Tokio Marine

Tokio Marine Holdings Inc said on Monday it would form a strategic partnership with Warren Buffett's Berkshire Hathaway by ‌initially selling ⁠a 2.49% ⁠stake through a third-party allotment of treasury shares.

The insurer said it ​would use the proceeds of up to 287.4 billion ​yen ($1.80 billion) ⁠to buy ‌back its own ​shares ​to prevent dilution for ⁠existing shareholders.

Following the initial share ​allocation to Berkshire's core reinsurance ​entity, National Indemnity, any additional acquisition of Tokio Marine's shares are expected to be made primarily through ‌the open market, Tokio Marine said in ​a filing. National ​Indemnity ⁠will agree not to buy more than 9.9% of Tokio Marine's outstanding ​shares without prior approval from the latter's board, the statement said.


($1 = 159.4100 yen)