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Greg Abel is starting to make his mark as Warren Buffett's successor

First publishedJul 27, 13:10 UTC
Last updatedJul 27, 16:28 UTC · 8m ago
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Greg Abel, who succeeded Warren Buffett as Berkshire Hathaway's CEO, completed his first takeover.Abel plans to unite Taylor Morrison with Berkshire's 15 similar homebuilders.He's starting to make his mark as CEO with this deal, the Alphabet wager, and his new team.Warren Buffett's successor, Greg Abel, just completed his first acquisition as Berkshire Hathaway's CEO. It's the latest sign that he's ready and willing to build on what Buffett built.In a Friday press release, Berkshire said it has officially taken over Taylor Morrison for $8.5 billion in cash, a deal it first announced at the end of May.Taylor Morrison is one of the nation's biggest land developers and homebuilders; it made about $1 billion in pre-tax profits on around $8 billion of revenue last year, its latest annual report shows.The homebuilder has now joined Berkshire's stable of housing-related subsidiaries, which includes its real estate brokerage network, Berkshire Hathaway HomeServices, and its building-products businesses, such as Clayton Homes, MiTek, and Acme Brick."Berkshire is acquiring a best-in-class national homebuilder, led by an exceptional team and backed by a trusted reputation for customer experience," Abel said in the May press release, echoing Buffett's appreciation for market power, quality management, and a strong brand.Abel said he expects to "unify our site-built homebuilding operations into a combined platform enabling us to deliver the dream of homeownership to more Americans."He shared an almost identical vision in Friday's press release, signaling that he plans to marshal Berkshire's homebuilding might to try to help tackle the affordability crisis that has prevented many Americans from becoming homeowners.The press release laid out that Taylor Morrison's brands — including Esplanade, Yardly, and Taylor Morrison Home Funding — will be combined with Berkshire's site-built homebuilding operations, a set of 15 regional and local homebuilders that make up Clayton Properties Group.Taylor Morrison's CEO, Sheryl Palmer, similarly said the united operations will have "transformative" scale and reach.Forging his own pathAbel took over from Buffett on New Year's Day, marking the end of a nearly six-decade run for the legendary investor that saw him transform a failing New England textile mill into a $1 trillion conglomerate.

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Greg Abel, who succeeded Warren Buffett as Berkshire Hathaway's CEO, completed his first takeover.Abel plans to unite Taylor Morrison with Berkshire's 15 similar homebuilders.He's starting to make his mark as CEO with this deal, the Alphabet wager, and his new team.Warren Buffett's successor, Greg Abel, just completed his first acquisition as Berkshire Hathaway's CEO. It's the latest sign that he's ready and willing to build on what Buffett built.In a Friday press release, Berkshire said it has officially taken over Taylor Morrison for $8.5 billion in cash, a deal it first announced at the end of May.Taylor Morrison is one of the nation's biggest land developers and homebuilders; it made about $1 billion in pre-tax profits on around $8 billion of revenue last year, its latest annual report shows.The homebuilder has now joined Berkshire's stable of housing-related subsidiaries, which includes its real estate brokerage network, Berkshire Hathaway HomeServices, and its building-products businesses, such as Clayton Homes, MiTek, and Acme Brick."Berkshire is acquiring a best-in-class national homebuilder, led by an exceptional team and backed by a trusted reputation for customer experience," Abel said in the May press release, echoing Buffett's appreciation for market power, quality management, and a strong brand.Abel said he expects to "unify our site-built homebuilding operations into a combined platform enabling us to deliver the dream of homeownership to more Americans."He shared an almost identical vision in Friday's press release, signaling that he plans to marshal Berkshire's homebuilding might to try to help tackle the affordability crisis that has prevented many Americans from becoming homeowners.The press release laid out that Taylor Morrison's brands — including Esplanade, Yardly, and Taylor Morrison Home Funding — will be combined with Berkshire's site-built homebuilding operations, a set of 15 regional and local homebuilders that make up Clayton Properties Group.Taylor Morrison's CEO, Sheryl Palmer, similarly said the united operations will have "transformative" scale and reach.Forging his own pathAbel took over from Buffett on New Year's Day, marking the end of a nearly six-decade run for the legendary investor that saw him transform a failing New England textile mill into a $1 trillion conglomerate. Buffett remains chairman, and both men have said he provides input into every major decision at the company.Regarding the Taylor Morrison deal, Buffett told CNBC's Becky Quick in May: "Greg did that faster than I could have done it, smoother than I could have done it, and I never talked to the CEO. He has launched."Buffett's defining struggle for years has been figuring out smart ways to deploy Berkshire's cash pile, which doubled in size to $380 billion in the two years ended March 31.

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Greg Abel, who succeeded Warren Buffett as Berkshire Hathaway's CEO, completed his first takeover.Abel plans to unite Taylor Morrison with Berkshire's 15 similar homebuilders.He's starting to make his mark as CEO with this deal, the Alphabet wager, and his new team.Warren Buffett's successor, Greg Abel, just completed his first acquisition as Berkshire Hathaway's CEO. It's the latest sign that he's ready and willing to build on what Buffett built.In a Friday press release, Berkshire said it has officially taken over Taylor Morrison for $8.5 billion in cash, a deal it first announced at the end of May.Taylor Morrison is one of the nation's biggest land developers and homebuilders; it made about $1 billion in pre-tax profits on around $8 billion of revenue last year, its latest annual report shows.The homebuilder has now joined Berkshire's stable of housing-related subsidiaries, which includes its real estate brokerage network, Berkshire Hathaway HomeServices, and its building-products businesses, such as Clayton Homes, MiTek, and Acme Brick."Berkshire is acquiring a best-in-class national homebuilder, led by an exceptional team and backed by a trusted reputation for customer experience," Abel said in the May press release, echoing Buffett's appreciation for market power, quality management, and a strong brand.Abel said he expects to "unify our site-built homebuilding operations into a combined platform enabling us to deliver the dream of homeownership to more Americans."He shared an almost identical vision in Friday's press release, signaling that he plans to marshal Berkshire's homebuilding might to try to help tackle the affordability crisis that has prevented many Americans from becoming homeowners.The press release laid out that Taylor Morrison's brands — including Esplanade, Yardly, and Taylor Morrison Home Funding — will be combined with Berkshire's site-built homebuilding operations, a set of 15 regional and local homebuilders that make up Clayton Properties Group.Taylor Morrison's CEO, Sheryl Palmer, similarly said the united operations will have "transformative" scale and reach.Forging his own pathAbel took over from Buffett on New Year's Day, marking the end of a nearly six-decade run for the legendary investor that saw him transform a failing New England textile mill into a $1 trillion conglomerate.
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1 outlet, average source rating 6.0/10.
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    Greg Abel is starting to make his mark as Warren Buffett's successor

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