Berkshire Hathaway acquires The Lubrizol Corporation

Berkshire Hathaway acquired The Lubrizol Corporation for Approximately $9.7 billion including ~$0.7 billion net debt ($135 per share), a transaction completed in September 2011, structured as all cash.

The Lubrizol Corporation operates in Specialty chemicals, is based in Wickliffe, Ohio. Berkshire agreed to acquire 100% of Lubrizol, a specialty-chemicals maker and global leader in lubricant additives, for $135 per share in cash, a roughly 28% premium, in a deal valued at about $9.7 billion including net debt. Lubrizol kept its headquarters in Wickliffe, Ohio and CEO James Hambrick continued to run the business.

Buffett praised Lubrizol as a global market leader run by a talented CEO and told management simply to keep doing what had worked.

Global leadership in high-margin lubricant additives with a strong management team.

Lubrizol is exactly the sort of company with which we love to partner - the global leader in several market applications run by a talented CEO, James Hambrick. Our only instruction to James - just keep doing for us what you have done so successfully for your shareholders.Warren Buffett, Chairman and CEO, Berkshire Hathaway

Advisory firms were not disclosed for this transaction.

You're subscribed.

Thanks for signing up.