Berkshire Hathaway to Acquire Lubrizol

Warren Buffett's Berkshire Hathaway Inc. has agreed to acquire the Lubrizol Corp., the world's largest lubricant additives, about 9 billion U.S. dollars cash-flush investors second-largest acquisition in the last five years. This is one of the largest ever offered at Berkshire Hathaway, which according to CEO Warren Buffett, will spend a significant portion of its 38 billion U.S. dollars in cash, the most important acquisitions this year. Lubrizol become a subsidiary of Berkshire, but will maintain its current management. The boards of both companies have approved the transaction.

Lubrizol produces lubricants and additives for motor oil. As the Wall Street Journal said the purchase is part of a recent Buffett to buy companies in the industrial and transport sectors, rather than its past preference for insurance companies.