Berkshire Bond Conversion
Published: January 7, 1993
Berkshire Hathaway Inc. said yesterday that holders of about 15.25 percent of its outstanding zero-coupon convertible bonds had decided to convert them into common stock of the company. The remainder of the bonds were redeemed for $404.7 million in cash.
Berkshire, which is controlled by Warren E. Buffett, the Omaha financier, had called the notes for redemption on Jan. 4.
Compared with the price they would have received had they cashed in their bonds, those who took Berkshire stock effectively paid $11,719 a share. In trading yesterday, Berkshire shares, the most expensive listed on the New York Stock Exchange, fell $150 each, to $11,500.