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Buffet’s Berkshire Hathaway Buys Large Stake in Pilot Flying J

By TruckingInfo.com
Posted Oct 5th 2017 1:38PM

Warren Buffet-run holding company Berkshire Hathaway has made a significant minority investment in truckstop chain Pilot Flying J, with plans to become the majority stakeholder by 2023, the companies announced.

The Haslam family will continue to own a majority of Pilot Flying J. Jimmy Haslam will remain its chief executive officer along with current President Ken Parent and the company’s management team. Under the terms of the deal, Berkshire will acquire a 38.6% stake in the company with plans to become the majority stakeholder by 2023. At that point, the Haslam family will retain a 20% ownership share.

“Pilot Flying J is built on a longstanding tradition of excellence and an unrivaled commitment to serving North America’s drivers,” said Warren Buffett, chairman, president and CEO of Berkshire Hathaway. “Jimmy Haslam and his team have created an industry leader and a key enabler of the nation’s economy. The company has a smart growth strategy in place and we look forward to a partnership that supports the trucking industry for years to come.”

Pilot Flying J will remain headquartered in Knoxville, Tennessee. The truckstop company employs 27,000 people in 750 locations across the U.S. and Canada. The investment from Berkshire Hathaway is seen as an opportunity for growth.

“Given the impeccable reputation of Warren Buffett’s Berkshire Hathaway, and our shared vision and values, we decided this was an ideal opportunity,” said Jimmy Haslam, CEO of Pilot Flying J. “As a family business that has evolved and prospered over the last six decades, we knew that any potential partner would need to share our commitment and have a proven track record as a long-term investor. We have that in Berkshire Hathaway – they believe in our strategy, support our team and are excited to see Pilot Flying J grow. We are honored and humbled to partner with them.”

TruckingInfo.com