Berkshire Hathaway, the renowned investment company led by Warren Buffett, has recently divested 2.53 million Hong Kong-listed shares of electric vehicle manufacturer BYD , according to a stock exchange filing. The sale, which took place on June 19, amounted to HK$675.80 million (equivalent to $86.3 million).
As disclosed in the filing submitted to the Hong Kong stock exchange on Monday, this transaction resulted in a decrease in Berkshire Hathaway’s holdings of BYD’s issued H-shares from 9.21% to 8.98%. The move signifies a strategic repositioning of Berkshire’s investment portfolio in the rapidly evolving electric vehicle sector.
BYD, a leading player in the global electric vehicle market, is headquartered in Shenzhen, China. The company has gained recognition for its innovative electric vehicles and energy storage solutions. Berkshire Hathaway’s decision to trim its stake in BYD reflects a possible reallocation of resources and capital within the investment conglomerate.
In May, BYD achieved a significant milestone by selling a record number of new energy vehicles (NEVs), surpassing the 1 million unit mark for sales in the year. Their NEV sales reached 240,220 units, indicating a remarkable increase of 108.99% compared to the previous year’s 114,943 units and a 14.23% rise from April’s 210,295 units.
From January to May, BYD’s NEV sales impressively exceeded 1 million units, totaling 1,002,591 units. This figure indicates a substantial surge of 348.11% compared to the same period in the previous year, where sales stood at 507,314 units. Furthermore, their passenger NEV sales for the same period experienced a notable growth of 358.15% to reach 996,476 units.
Chairman and President Wang Chuanfu expressed BYD’s ambition to sell a minimum of 3 million vehicles this year, with a stretch goal of reaching 3.6 million. This statement was made during an investor conference held in late March. As BYD continues to excel in the electric vehicle market and expand its production capacity, the company strives to solidify its position as a dominant force in the industry.
