Warren Buffett's Berkshire Hathaway Reportedly Raises $1.9B Through Largest Samurai Bond Sale In 5 Years

Berkshire Hathaway BRK BRK has successfully secured 281.8 billion yen, approximately $1.9 billion, via a yen-denominated bond offering. This represents the company’s largest bond sale in Japan’s currency in five years.

Don’t Miss:

• A billion-dollar investment strategy with minimums as low as $10 — you can become part of the next big real estate boom today.
  This is a paid advertisement. Carefully consider the investment objectives, risks, charges and expenses of the Fundrise Flagship Fund before investing. This and other information can be found in the Fund's prospectus. Read them carefully before investing.
• Your biggest returns may not come from the stock market. Invest the way colleges, pension funds, and the 1% do. Get started investing in commercial real estate today.

What Happened: This issuance of Samurai bonds highlights Warren Buffett‘s increasing interest in Japan’s financial markets. Over the past four years, Berkshire Hathaway has invested in Japan’s top five trading houses, and this bond sale is part of its strategy to expand its exposure to Japanese assets, as per a term sheet reviewed by Reuters on Thursday.

According to a filing with the U.S. Securities and Exchange Commission, Berkshire Hathaway will use the funds for general corporate purposes. The company initially announced plans to invest in Japan’s trading houses in 2020, with a goal to hold these stakes long-term and potentially increase ownership to 9.9%.

Berkshire did not immediately respond to Benzinga's request for comment.

Trending: This billion-dollar fund has invested in the next big real estate boom, here's how you can join for $10.
This is a paid advertisement. Carefully consider the investment objectives, risks, charges and expenses of the Fundrise Flagship Fund before investing. This and other information can be found in the Fund's prospectus. Read them carefully before investing.

This year, Berkshire Hathaway has engaged in significant yen bond sales, with the latest issue featuring bonds with maturities ranging from 3 to 30 years. The largest tranche, a 3-year bond, raised 155.4 billion yen, while the 5-year bond secured 58 billion yen.

Why It Matters: Buffett’s strategic move into Japan’s financial markets aligns with his long-term investment philosophy. In a recent letter to investors, Buffett emphasized the importance of companies that consistently increase dividends. This approach has contributed to Berkshire Hathaway’s impressive returns.

Despite global market volatility, Berkshire Hathaway’s Japanese investments have shown resilience. In early August, the Nikkei 225 index experienced a significant drop but managed to recover most of its losses. This underscores the strength of Buffett’s investments in Japan’s trading giants.

Wondering if your investments can get you to a $5,000,000 nest egg? Speak to a financial advisor today. SmartAsset’s free tool matches you up with up to three vetted financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you.

Keep Reading:

• Interest rates are falling but you can still make high yields in real estate. Find out how.
• Get ‘em while you can — investing in this asset class may be reaching a high-water mark but you can still make returns right now.