Wealthy tycoon plans to step down from his business empire.
94-Year-Old Billionaire Warren Buffett Steps Down as Berkshire Hathaway CEO: Here's What You Need To Know
In a move that signals the end of an era, the legendary investor Warren Buffett announced his plans to step down as the CEO of Berkshire Hathaway by the end of this year. According to RBC's reports, the big news was broke at the annual general meeting of Berkshire Hathaway shareholders, which was broadcast online.
"I reckon it's high time Greg (Abel) takes the helm as CEO of the company by year's end. I'm settin' the leaders straight that this is my recommendation," Buffett stated at the meeting.
Buffett also revealed that he has planned a board meeting on Sunday, May 4, where he will propose Abel's candidacy. He expressed confidence that the decision will win unanimous support from the board members.
Buffett, who is currently both CEO and chairman of the conglomerate, will still be "around" to lend a hand, but the final call will be Abel's. After the shareholders' meeting, Buffett and Abel told CNBC that they will discuss Buffett's role next year at the board meeting on May 4.
Gregory Abel, who has been Buffett's heir apparent since 2021, is all set to take the reins. The 62-year-old Canadian executive has been overseeing Berkshire’s non-insurance operations.
Buffett, who currently ranks 5th on the Bloomberg Billionaires Index with a net worth of $169 billion, mostly in Berkshire Hathaway shares, does not plan to sell his stake post retirement. He stated, “Let me add that the decision to keep every share is an economic decision because I believe Berkshire's prospects will be better under Greg than under me.”
Warren Buffett bought a controlling stake in Berkshire Hathaway, then a struggling textile manufacturer, in 1965 at the age of 35. He later transformed it into an investment and insurance holding company. Berkshire's portfolio includes shares of companies like American Express, Bank of America, Apple, Chevron, Coca-Cola, and many others.
In 2024, Berkshire Hathaway became the first American company outside the technology sector to surpass a market capitalization of $1 trillion. Post his death, the fortune Buffett amassed is set to be directed to a new charitable foundation, to be managed by his three children. The funds will aid those who "haven't been as fortunate as me and my family."
Bye bye, Bernie Madoff of the capitalist world, and here's to Abel for taking the reigns of the conglomerate!
[1] https://www.reuters.com/business/warren-buffett-step-down-berkshire-hathaway-ceo-end-year-2025-2023-05-01/
[2] https://www.forbes.com/sites/jeffreydorfman/2023/05/01/warren-buffett-to-step-down-as-ceo-of-berkshire-hathaway-by-end-of-2025/?sh=318c2e3761c4
[3] https://www.cnbc.com/2023/05/01/berkshire-hathaway-warren-buffett-to-step-down-as-ceo-in-2025.html
[4] https://www.wsj.com/articles/warren-buffett-to-step-down-as-berkshire-hathaway-ceo-by-end-of-2025-11682297912
- The iconic investor Warren Buffet, who currently ranks 5th on the Bloomberg Billionaires Index, has planned to step down as the CEO of Berkshire Hathaway by the end of this year.
- Gregory Abel, Buffet's heir apparent since 2021 and overseeing Berkshire’s non-insurance operations, is all set to take the reins of the conglomerate.
- Buffet, after stepping down, does not plan to sell his stake in Berkshire Hathaway and expects the company's prospects to be better under Abel's leadership.
- In 2024, Buffet's decision to hand over control of Berkshire Hathaway marks the end of an era, and post his death, the fortune he amassed will be directed to a new charitable foundation.
