Berkshire Hathaway has agreed to purchase the remaining 77.4% stake in US Class 1 railway BNSF for roughly $23.6bn or $100 a share in cash and stock, making it the sole owner of BNSF.
The payment represents a 31.5% premium on the closing price of BNSF’s shares on 2 November on the New York Stock Exchange.
The deal, which covers $10bn of outstanding debt of BSNF, is likely to attain regulatory approval early next year.
Berkshire CEO Warren Buffet said that the deal represents an all-in wager on the economic future of the US.
Berkshire has been consistently raising its stake in BNSF in recent years.