Berkshire Hathaway Has Plans to Put More Than a Half Billion into Snowflake IPO
Warren Buffett's Berkshire Hathaway has plans to invest around $550 million into Snowflake when it goes public, according to Markets Insider.
- Berkshire will invest $250 million in Snowflake, according to the cloud-data company's amended S-1 filing.
- An additional 3.1 million Class A shares will be purchased in a private sale at $80, based on the midpoint of Snowflake's expected IPO price.
- Lastly, Berkshire plans to buy an additional 4 million Class A shares from Snowflake CEO Robert Muglia paying the IPO price for each share.
All of these purchases will cost Buffett's firm more than $550 million for more than 7 million shares, representing around 19 percent of Class A shares outstanding.
Salesforce is purchasing $250 million of Snowflake with its strategic venture arm, Salesforce Ventures.
Snowflake was founded in 2012 and valued at $12.4 billion in February. Its revenue surged 121 percent year-over-year to $133 million last quarter.