SHARE

Warren Buffett has sent the latest edition of his annual letter to the Berkshire Hathaway Inc. shareholders highlighting on the future investment plans and other key prospects. For Buffett to write this year’s annual letter to the shareholders and his fans worldwide, it’s not been that easy. For a long time, Buffett has been assessing the American economy and the prospects of his conglomerate, but the recent letter’s tone revealed his frustrations.

Investors across the world laud Buffett’s achievements who have significantly become the role model to many people who are in business due to his successful investment mantras. His newsletter is usually closely watched by the public each year since it contains useful information on the investment mantras and wisdom needed to survive in the unpredictable business environment.

Although the Berkshire’s shares increased tremendously in 2017, Buffett reflection of the year reveals the M&A challenges that he faced. He gave the details on the acquisitions that are unattractive and the potential business transactions that collapsed leaving the conglomerates in a critical situation.

Buffett, 87-year-old has taken a while before writing on the acquisitions or his own businesses including Berkshire after facing stiff competition from other strategic acquirers who are more than willing to pay for the business growth opportunities available that Berkshire itself could not afford.

In the letter, Buffet also mentioned his plans to acquire huge acquisitions in order to substantially increase his earnings, especially in the non-insurance group. He included the plans meant to acquire a major transaction of about 38.6% in the Pilot Flying J. The terms of the agreement were never disclosed but the business makes more than $20 billion in sales.

Kraft Heinz announced recently that Buffett is leaving its board, a food maker company whose revenue has been declining and it’s currently looking for a suitable megamerger. Buffett seems to be moving away from Kraft Heinz as he plans to focus on the Berkshire megadeal with other major firms. However, Buffett understands that putting a huge portion of cash of his conglomerate is a risk in itself.

SHARE
Previous articleCryptocurrency Mining Rigs Ignite A Business Boom For Asian Tech Hubs
Next articlePutin Stresses to Stay Abreast of Technology
Steve Kanaval: Portfolio Manager/Writer/ Market Analyst Steve began his career in the Trading Pits in Chicago making markets at the Chicago Mercantile Exchange (NYSE:CME) the Chicago Board of Trade and the CBOE in the early 80’s. He ran the Morgan Stanley Derivative Prop Trading for the firm specializing in Index Arbitrage. He continued his career as a Trader/Portfolio Manager for multiple Hedge Funds during the Internet Boom of the 90’s managing large portfolios. Steve is known as an expert in MicroCap Technology Stocks and the emerging Digital Currency markets as a Portfolio Manager for his Family Office. Steve has managed portfolio’s in volatile asset classes for 3 decades as a commodity trader, hedge fund manager and digital currency trader and miner. Steve publishes his views on the asset classes in a public forum and has published more than 10,000 articles simplifying these complex and volatile assets for readers. His work is published on multiple sites including Bloomberg, Equities.com, Hacked.com, CryptoCurrencyNews as a paid contributor. His work includes research, journalism and archived video on important market volatility related to stocks, digital currency and other volatile misunderstood asset classes. He offers a humorous, unique insight and the related back stories and drivers for readers interested in volatility and emerging market assets. Full disclosure Steve is long 25 digital currencies and sits on the board of multiple public companies involved in digital currencies, and owns shares in these companies from time to time.

LEAVE A REPLY