FINANCE

This is the company Warren Buffet invested billions of dollars in

The secretive investment that Berkshire Hathaway asked the SEC for confidential treatment over the last two quarters of 2023 has finally been revealed.

Scott MorganREUTERS

The cat is finally out of the bag with Berkshire Hathaway’s latest Securities and Exchange Commission (SEC) filing of its mystery investment. Warren Buffet’s conglomerate had requested confidential treatment of a secretive position it was acquiring in an unknown company during the last two quarters of 2023.

However, in its first quarter filing made public on Thursday Berkshire Hathaway disclosed that it has taken a major stake in Chubb, an insurance company.

Chubb, the company in which Warren Buffet invested billions of dollars

Buffet’s company has scooped up nearly 26 million shares of the Zurich-based property and casualty insurer, a stake worth roughly $6.7 billion. It is now Berkshire Hathaway’s ninth biggest holding as of the end of March.

Chubb was in the headlines in March raising eyebrows when it underwrote the close to $92 million appeal bond for former President Trump in the E Jean Carroll defamation lawsuit. However, it backed out of negotiations to provide the $464 million appeal bond for the New York civil fraud case Trump lost.

The insurer operates in 54 countries and around 40,000 employees. In 2023, Chubb registered a “blowout year– the best in our company’s history,” in the words of its chair and chief executive Evan Greenberg. The value of its stock is up almost 12% since the beginning of year and news of Buffet’s investment sent the stock rising even higher in afterhours trading on Thursday.

It will join the collection of companies in the insurance industry that the Omaha-based conglomerate owns or in which it has a stake. Some of those include auto insurer GEICO, property and casualty insurers National Indemnity (NICO) and Alleghany along with reinsurance giant General Re.

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