Berkshire Hathaway To Buy Lubrizol For $9.7 Billion

Berkshire Hathaway Inc BRK announced its plans to acquire 100% of outstanding shares of Lubrizol Corporation LZ for $135 per share in cash.

Berkshire Hathaway will buy LZ for $9.7 billion, including about $0.7 billion in net debt. The purchase price represents a 28% premium over LZ's closing price on Friday and is 18% higher than all-time high share closing price of Lubrizol. The transaction is unanimously approved by the board of directors of each company.

“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,” said Warren Buffett, Berkshire Hathaway chief executive officer. “Our only instruction to James – just keep doing for us what you have done so successfully for your shareholders.”

BRK-A shares gained 0.24% to close at $128,000.00 on Friday, while LZ shares rose 0.35% to close at $105.44 on Friday.

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