XTRA Corp. sold for $590 million US
WESTPORT, Conn. (July 31, 2001) — A unit of Berkshire Hathaway, the investment firm chaired by financier Warren Buffett, said it has agreed to buy XTRA Corp., one of North America’s largest trailer rental and leasing firms for $55 US a share.
The total value of the transaction, for all of XTRA’s outstanding common stock, is about $590 million US. XTRA will become a wholly owned subsidiary of Berkshire Hathaway and will continue to be headquartered in Westport, Conn.
XTRA leases over-the-road trailers, marine containers, and intermodal equipment, including intermodal trailers, chassis, and domestic containers.
“XTRA is an outstanding business with a wonderful reputation,” Buffett said in a press release. “It will be a great addition to the Berkshire Hathaway group of businesses.”
The tender offer is subject to certain conditions, including the tender of not less than a majority of XTRA’s outstanding common stock, on a fully diluted basis, and the obtaining of all necessary governmental approvals.
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