Berkshire Hathaway strengthens its presence in the real estate sector Usa with a new billion-dollar operation: theacquisition of Taylor Morrison Home Corp for 6,8 billion dollars in cash. It's the first major move of 2026 under the new CEO. Greg Abel, who took over from Warren Buffett, now chairman of the group.
The deal comes at a time of strong activity for Berkshire, which in the previous months had already completed the acquisition of the petrochemical business of Occidental Petroleum for 9,5 billion dollars, confirming a strategy oriented towards the use of the significant liquidity accumulated in recent years.
Transaction details: price, premium and total value
The agreement provides for a price of $72,50 per sharea 24% bonus compared to the May 29 closing price ($58,50). The overall value of the transaction, including the financing structure, brings the enterprise value to approximately $8,5 billion. This is supported by a significant cash position: Berkshire Hathaway had cash of between $380 billion and $397 billion at the end of the first quarter of 2025, a record level that allows the group to make acquisitions without resorting to leverage. Advisors on the transaction include Goldman Sachs and Moelis, while the law firms involved are Simpson Thacher & Bartlett e Mayer Brown.
The transaction should be completed in second half of the 2026, subject to regulatory and shareholder approvals. Sheryl Palmer will remain in charge of the company's operations even after the closing.
Taylor Morrison's Numbers
Taylor Morrison Home Corp is one of the major residential builders In the United States, it ranks sixth in the Builder's Top 100 list. In 2025, it recorded revenues of $8,12 billion and net income of $782,5 million, confirming its solid position in the US housing market. The group operates in 12 states with over 350 residential communities and the Taylor Morrison, Esplanade, and Yardly brands, covering segments ranging from first-time homeowners to premium resort-style developments.
Key element of the business is the integration of financial servicesIn addition to home construction and sales, the company offers in-house mortgage and insurance solutions, allowing customers to directly finance their home purchase. This makes the transaction particularly strategic for Berkshire, which thus expands its control across the entire real estate supply chain.
Berkshire's Home Strategy
The operation is part of an already broad real estate strategy. Warren Buffett's holding company has been present in the sector for years through Clayton Homes (since 2003), in addition to positions in building materials such as Acme Brick, Benjamin Moore e Johns manville. Added to this are stakes in large American manufacturers such as lennar e NoThe entry into Taylor Morrison completes this architecture, aiming for an increasingly integrated model between construction, materials and financing.
Il market carefully observe the transition phase at the top. In 2026 the title Berkshire Hathaway fell more than 5%, underperforming the S&P 500 (+10,7%), as investors weigh the new management's ability to effectively allocate its enormous available liquidity. Meanwhile, fundamentals remain solid: in the most recent quarter, the group generated approximately $6,9 billion in earnings from operating activities, with total operating income of $10,1 billion.
Comments
“We are thrilled to welcome Taylor Morrison to the Berkshire portfolio,” said CEO Greg AbelThe stated goal is to progressively integrate residential construction activities into a single, more efficient platform. "Over time, we plan to unify our homebuilding activities into an integrated structure, to make the dream of homeownership more accessible in the United States," Abel added.
Even the CEO Sheryl Palmer commented positively on the deal, calling Berkshire's long-term approach "perfectly aligned with the residential construction cycle." Joining the group will allow Taylor Morrison to expand its platform and accelerate growth in new segments, while maintaining management continuity: Palmer will remain at the operational helm of the company even after the transaction closes.
