Investment tycoon Warren Buffett’s Berkshire Hathaway conglomerate is due to take full control of its energy unit in a multi-billion dollar deal later this quarter.

Berkshire Hathaway has agreed to acquire the 8% of Berkshire Hathaway Energy (BHE) it does not already own from the family of late billionaire and BHE board member Walter Scott.

It will pay $2.37 billion in cash for about 4.42 million of BHE shares, while the Scott family is due to swap about 1.6 million BHE shares for an equivalent value of Berkshire Hathaway shares. BHE is also exchanging some debt.

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The transaction is due to be completed this quarter after regulatory approvals. Its total value is unclear because BHE’s shares are not publicly traded.

Scott died in 2021 at the age of 90.

BHE has a wide portfolio of energy, utility, pipeline and real estate businesses, including major wind power players MidAmerican Energy and PacifiCorp.

As of 31 December 2023, BHE owned 12.9GW of wind power capacity, 2.1GW of solar PV capacity, 1GW of hydro capacity, about 360MW of nuclear capacity and about 360MW of geothermal capacity. It also owned 11.5GW of natural gas capacity and 7.5GW of coal capacity.

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