
Occidental Petroleum Corp.’s weaker share price — dragged down by crude oil’s latest rout — is giving Warren Buffett another chance to expand his stake.
The billionaire investor’s Berkshire Hathaway Inc. has spent more than $800 million to purchase 13.7 million shares of the shale explorer in the last two weeks, according to company filings. The investment firm, the largest Occidental shareholder, now owns 23 per cent of the company, worth roughly $12 billion at current prices.
Berkshire, which last year won approval from US regulators to acquire as much as 50 per cent of Occidental, has been a frequent buyer when its shares fall to around $60.
The Houston-based energy producer has fallen about eight per cent this year alongside peers as a recent drop in oil prices is seen eroding profits and cash generation in the sector. The turmoil engulfing banks, including Credit Suisse Group AG, has raised fears of a recession, weighing on fuel prices.
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