> Warren Buffett Blog: Symetra deal with Sumitomo makes Berkshire Hathaway $642 million

Wednesday, February 10, 2016

Symetra deal with Sumitomo makes Berkshire Hathaway $642 million

Symetra Financial announced the completion of the acquisition of Symetra by Sumitomo Life Insurance Company in accordance with the terms of the previously announced Agreement and Plan of Merger, dated Aug. 11, 2015, among Symetra, As a result of the merger, each outstanding share of common stock of Symetra was converted into the right to receive $32.00 per share in cash, without interest, and less any applicable withholding taxes, and Symetra has become a wholly owned subsidiary of Sumitomo Life. Shares of Symetra common stock will no longer be listed for trading on the New York Stock Exchange. 

The acquisition has benefited Warren Buffett as Berkshire Hathaway made nearly $642 million on the deal. Berkshire said in documents filed with the Securities and Exchange Commission this week that it sold all 20 million of its Symetra shares as part of the deal.

Like other shareholders, Omaha-based Berkshire received $32 per share as part of the Japanese company’s acquisition of Bellevue, Washington-based Symetra. The life insurer also provides employee benefits and annuities.