Berkshire Hathaway to Buy Marmon Holdings

Private firm Berkshire Hathaway said it will buy 60% of Marmon Holdings, a private company, for $4.5 billion.

It will buy the remaining 40% will be acquired through staged acquisitions over a five- to six-year period based on the future earnings of Marmon.

Marmon, which is owned by trusts for the benefit of members of the Pritzker Family of Chicago, has more than 125 businesses, including intermodal tank containers and technologies for the heavy-duty highway transportation.

Marmon’s operating income more than tripled in the past five years, and its operating margins increased from 4.9% to 12.4%.

The deal is expected to close in the first quarter of next year.