September 08, 2008

Mr Buffett buys stake in Marmon Holding

It is reported that Mr Warren Buffett’s Berkshire Hathaway has announced purchase of 60% of Marmon Group Holding for USD 4.5 billion.

Marmon Group is a business owned by the Pritzkers for more than half a century. Its biggest unit, Union Tank Car, makes liquid carrying rail cars and was part of the Standard Oil Trust split up by the government in 1911. Its most recognizable unit is the Hyatt hotel chain, which the family founded and still controls. In 2006, Marmon posted revenue of USD 7 billion and profit of USD 1 billion from operations like wire and cable, railroad tank cars and water treatment systems.

Marmon Keystone service center chain operations at Butler in Pennsylvania. Marmon Keystone is a distributor of carbon steel, stainless steel, aluminum and nickel alloy tubular products; chrome and stainless bar and stainless steel fasteners.