Buffett paid the $560 million to Axalta’s private equity owner, The Carlyle Group, for 20 million shares of the company — at $28 per share — amounting to a 9 percent stake in Axalta.
Carlyle took Axalta, formerly DuPont, public in November 2014, and has since seen the company’s stock rise 43 percent, according to CNN.
"We are pleased to have Berkshire Hathaway Inc. take this share ownership position in Axalta," said Charlie Shaver, Axalta chairman and CEO. "Berkshire is the type of quality investor that Axalt has been fortunate to attract since our IPO last year. We believe this investment shows Berkshire's support of our strategy to reshape ourselves into a growth and customer-oriented, world-class coatings company."
In connection with the purchase, Berkshire Hathaway agreed that it would not dispose of the shares for 90 days following the consummation of the sale. Axalta has agreed to provide Berkshire Hathaway with certain registration rights following the expiration of that 90-day period.
But the purchase is not expected to impact daily operations. "For us, it's business as usual. Our goal every day is to provide all our customers with the best possible products and services," said Matthew Winokur, Axalta vice president of corporate affairs.
