Berkshire Hathaway is Warren Buffett’s conglomerate, formed by the 1965 takeover of a struggling textile manufacturer.
Buffett began buying shares in Berkshire Hathaway, then a New England textile company, during the 1960s. After gaining control, he shifted the business away from textiles and toward insurance, investments and the ownership of operating companies. The textile operations were eventually closed in 1985.
Berkshire’s portfolio has included insurance businesses such as GEICO and General Re, as well as major stakes in public companies. Its annual shareholder meeting in Omaha, Nebraska, is widely known as “Woodstock for Capitalists.”
The company is frequently included in discussions of the world’s richest companies by market capitalization, although its share structure is unusual. Berkshire’s Class A shares have an exceptionally high individual price, while Class B shares provide a lower-priced alternative with fewer voting rights. Market capitalization, rather than share price alone, is the standard comparison.