Which candy company did Berkshire Hathaway buy in 1972?

Berkshire Hathaway bought the candy company See’s Candies in 1972.

The purchase was made through Blue Chip Stamps, an affiliate then controlled by Warren Buffett and Charlie Munger; Blue Chip was later merged into Berkshire Hathaway. Berkshire ultimately paid about $25 million for the West Coast boxed-chocolate maker, making See’s an early example of Buffett’s focus on strong brands and pricing power.

See’s had approximately $30 million in annual sales and less than $5 million in pretax earnings when it was purchased. Its products were sold largely for cash, while its short production and distribution cycle limited the capital needed to operate the business.

The acquisition is often remembered because it influenced Berkshire’s investment philosophy. Buffett and Munger initially focused heavily on tangible assets, but See’s demonstrated how customer loyalty and a trusted brand could produce exceptional returns. Godiva, Fannie May, and Russell Stover were not the company involved in Berkshire’s 1972 purchase.