for subscribers

Buffett awaits $8bn of ‘bad news’ with Kraft Heinz payment

Share your Subscriber Article
You have 5 articles to share every month. Send this story to a friend!
Billionaire investor Warren Buffett. (AFP)
Billionaire investor Warren Buffett. (AFP)

Seattle - Warren Buffett is about to get back the $8bn (R125.5bn) - plus a little extra - that his Berkshire Hathaway invested in Kraft Heinz.

“That will be good news for Kraft Heinz,” he wrote in his most recent annual letter to shareholders, “and bad news for Berkshire.”

It’s easy to see why. The packaged food giant is paying Buffett’s company 9%, or $720m annually, on the stake - an attractive return at a time when the billionaire has struggled to find large investments, and the cash on Berkshire’s balance sheet earns almost nothing.

There’s more to this story
Subscribe to News24 and get access to our exclusive journalism and features today.
Subscribe
Already a subscriber? Sign in
ZAR/USD
16.75
(-0.05)
ZAR/GBP
21.36
(+0.67)
ZAR/EUR
19.64
(+0.48)
ZAR/AUD
12.03
(+0.83)
ZAR/JPY
0.16
(+0.26)
Gold
1899.60
(-0.85)
Silver
24.41
(-2.39)
Platinum
868.00
(-1.75)
Brent Crude
42.14
(-3.94)
Palladium
2217.00
(-2.53)
All Share
53265.33
(-0.10)
Top 40
49126.16
(-0.05)
Financial 15
9570.37
(+0.53)
Industrial 25
71886.85
(+1.23)
Resource 10
52935.40
(-1.85)
All JSE data delayed by at least 15 minutes morningstar logo
Company Snapshot
Voting Booth
Do you think it was a good idea for the government to approach the IMF for a $4.3 billion loan to fight Covid-19?
Please select an option Oops! Something went wrong, please try again later.
Results
Yes. We need the money.
11% - 1339 votes
It depends on how the funds are used.
73% - 8747 votes
No. We should have gotten the loan elsewhere.
16% - 1928 votes
Vote