Berkshire Hathaway has officially announced the completion of its acquisition of Alleghany, having received all regulatory approvals earlier this week.
It was first announced in March that Warren Buffett’s insurance and reinsurance firm had reached an agreement to acquire all of Alleghany’s outstanding shares in an $11.6 billion transaction.
The deal, which was unanimously approved by both Boards of Directors, sees Berkshire acquire Alleghany’s shares for $848.02 in cash, represents a multiple of 1.26x Alleghany’s book value at December 31st, 2021.
In April, Alleghany confirmed that the “go-shop” period under the merger agreement with Berkshire had ended.
A couple of months later, Alleghany announced the receipt of approval from its stockholders for the pending acquisition.
Upon the closing of the transaction, Alleghany became a wholly-owned subsidiary of Berkshire Hathaway, and continues to be led by Joe Brandon.
Goldman Sachs & Co. LLC served as financial advisor and Willkie Farr & Gallagher LLP served as legal advisor to Alleghany during the transaction, while Munger, Tolles & Olson LLP served as legal advisor to Berkshire Hathaway.
