Warren Buffett's $590 Million Investment Signals Major Shift in U.S. Oil Industry
Warren Buffett's Berkshire Hathaway purchased approximately 10.5 million shares of Occidental Petroleum (OXY) for nearly $590 million, following Occidental's announcement of a $12 billion deal to acquire CrownRock. Berkshire now holds slightly over 27% ownership of Occidental and also possesses preferred shares and warrants. Occidental plans to fund the acquisition through new debt, equity issuance, and assuming CrownRock's existing debt. The transaction is expected to close in Q1 2024. OXY's stock price rose by 3.01% in the past 24 hours, and Occidental plans to increase its dividend yield, benefiting Buffett.