Berkshire buys Taylor Morrison for $6.8 billion. Buffett touts Abel’s dealmaking
Consumer
Berkshire Hathaway agreed to acquire Taylor Morrison (TMHC) for $72.50/share in cash (~$6.8B), a significant premium to the current ~$58.50 price, marking Greg Abel's first major deal as Berkshire CEO. The ~24% spread to the announced deal price creates a clean merger-arb setup in TMHC, though deal-close timeline and regulatory risk set the guardrails.
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Angle
↑ LONG+24% target-4% stopdeal close, likely 3-6 months
Long TMHC to close the ~$14 merger-arb gap to the $72.50 Berkshire cash takeout; consensus is 10B/3SB vs. only 2S, making this a hard-to-fade arb with a cash acquirer.