Warren Buffett cuts stake in Munich Re to below 10%
The shareholdings of US holding company Berkshire Hathaway and commercial insurance firm National Indemnity Company in Munich Re have been reduced to 9.7 percent, below the threshold of the 10 percent required for voting rights.
Previously these companies, which are controlled directly or indirectly by Warren Buffett, held approximately 12 percent of the share capital of Munich Re.
The firms have held more than 10 percent of the shares in Munich Re since October 2010. When the shares were purchased, Buffett said that the investment was being held for the purpose of generating trading profits.
Jörg Schneider, chief financial officer of Munich Re, said: “We are pleased that Warren Buffett has been a significant shareholder for many years. In the 135-year history of our business, we have often seen changes to our shareholder structure.
“Most of our shareholders now come from countries other than Germany, and the percentage of private investors has increased strongly. Most of our shareholders are long-term investors who have been with us for years. In the future, we will also ensure that our shareholder community remains spread over many countries and different investor groups.”
Munich Re has distributed dividends of more than €6 billion since 2010. In addition, in the period from May 2010 up to the Annual General Meeting in April 2015, Munich Re bought back shares totalling around €3 billion. The current share buy-back programme is intended to buy back shares worth up to a further €1billion before the Annual General Meeting in April 2016.
