Warren Buffett’s Berkshire Hathaway sold multitranche bonds worth ¥281.8 billion ($1.89 billion) on Thursday in a deal that’s fueling speculation the legendary investor will increase his exposure to Japanese assets.
The firm priced a seven-part bond deal with tenors spanning three to 30 years in Berkshire’s biggest yen-denominated deal since its debut sale in 2019. The sale means Berkshire is the largest foreign issuer of yen bonds this year, raising a record ¥545.1 billion. All maturities except the three-year tranche offered higher premiums relative to its corresponding yen-note offering in April.
The billionaire’s fundraising in Japan is being closely watched by equity-market investors because Buffett has previously used yen funds raised in the bond market to purchase holdings in Japanese companies. His stake increases in five major trading houses helped drive up the 225-issue Nikkei average to a record high earlier this year. Should Berkshire’s investment choices widen to other stocks such as banks, insurers and shippers, as some analysts speculate, it could lead to more gains for the broader Japanese market.