Warren E. Buffett, 1995 (v. 1.7) Case Solution
This is a Darden case study. Out of the shares of GEICO that Berkshire Hathaway doesn’t already own, it proposed a bid for the remaining 49.6%, in August 1995. Students perform a simple valuation of GEICO shares and contemplate the reasonableness of the acquisition premium that is 26%.
There are not any clear synergies, and Berkshire Hathaway has declared that it will run GEICO with no changes. Student evaluation can comprise the investment philosophy and exceptional record of Berkshire's CEO, Warren E. Buffett.
PUBLICATION DATE: October 11, 1996
This is just an excerpt. This case is about FINANCE & ACCOUNTING