Simpson Thacher represented BofA Merrill Lynch, Goldman, Sachs & Co., J.P. Morgan and Wells Fargo Securities in the registered public offerings by Berkshire Hathaway Inc. (“Berkshire”) and Berkshire Hathaway Finance Corporation (“BHFC”) of $2 billion aggregate principal amount of notes. The transaction included offerings by Berkshire of $750 million in both fixed and floating rate notes, as well as offerings by BHFC of $1.25 billion in both fixed and floating rate notes which will be guaranteed by Berkshire. All transactions closed on August 15, 2016.
Berkshire used the net proceeds from its offerings to repay at maturity its existing 2.2% Senior Notes due August 15, 2016, and BHFC used the net proceeds from its offering to repay at maturity its existing 0.95% Senior Notes due August 15, 2016. The remaining proceeds will be used for general corporate purposes.
Berkshire and its subsidiaries engage in diverse business activities including insurance and reinsurance, utilities and energy, freight rail transportation, finance, manufacturing, retailing and services. Berkshire’s common stock is listed on the New York Stock Exchange, trading symbols BRK.A and BRK.B.
The Simpson Thacher team for the transaction included Andy Keller, Tony Rim and Nicole Annunziato (Capital Markets); Steve DeLott (Insurance); Jonathan Cantor and Jacqueline Clinton (Tax); and Jennie Getsin (FINRA and Blue Sky).