Berkshire Hathaway Updates DaVita Stake Filing

TL;DR

Buffett's crew updated their DaVita filing - still watching that dialysis giant.

AI Summary

Berkshire Hathaway Inc. and its subsidiaries, including Warren E. Buffett and R. Ted Weschler, have filed an amendment to their Schedule 13D, indicating a change in their beneficial ownership of DaVita Inc. as of August 8, 2024. The filing does not specify the exact number of shares or the percentage of ownership, but it signifies an update to their previous filings regarding their stake in the kidney dialysis provider.

Why It Matters

This filing signals a potential shift or confirmation of Berkshire Hathaway's investment strategy concerning DaVita, a major player in the healthcare services sector.

Risk Assessment

Risk Level: medium — Changes in filings by major investors like Berkshire Hathaway can indicate shifts in their investment thesis, potentially impacting the stock price.

Key Players & Entities

• Berkshire Hathaway Inc. (company) — Filing entity
• Warren E. Buffett (person) — Beneficial owner
• R. Ted Weschler (person) — Beneficial owner
• DaVita Inc. (company) — Subject company
• 20240808 (date) — Filing date

FAQ

Key Financial Figures

• $0.001 — e shares of the Common Stock, par value $0.001 per share (Common Stock), of DaVita Inc

Filing Documents

• d792254dsc13da.htm (SC 13D/A) — 172KB
• 0001193125-24-197170.txt ( ) — 174KB

of this 13D is hereby amended by adding the following

Item 4 of this 13D is hereby amended by adding the following: The information set forth in Item 6 of this 13D concerning the Share Repurchase Agreement (as defined below) is incorporated by reference in this Item 4. Items 5(a)-(b) of this 13D are hereby amended and restated as follows: (a) Government Employees Insurance Company (GEICO), an insurance company, is the holder of record of 18,513,482 shares of DVA Common Stock (the GEICO Shares), which represents 22.1% of the outstanding DVA Common Stock. GEICO is a wholly-owned subsidiary of (and controlled by) GEICO Corp. GEICO Corp is a wholly-owned subsidiary of (and controlled by) National Indemnity Company (NICO), an insurance company. Thus, each of NICO and GEICO Corp may be deemed to have beneficial ownership of the GEICO Shares. Berkshire Hathaway Consolidated Pension Plan Master Trust is the holder of record of 10,532,088 shares of DVA Common Stock, which represents 12.6% of the outstanding DVA Common Stock. BNSF Master Retirement Trust is the holder of record of 6,850,000 shares of DVA Common Stock, which represents 8.2% of the outstanding DVA Common Stock. Scott Fetzer Company Collective Investment Trust is the holder of record of 200,000 shares of DVA Common Stock, which represents 0.2% of the outstanding DVA Common Stock. Collectively, the pension plans referenced in this paragraph (the Pension Plan Holders) directly own 17,582,088 shares of DVA Common Stock (the Pension Plan Shares), which represents 20.9% of the outstanding DVA Common Stock. CUSIP NO. 23918K108 SCHEDULE 13D PAGE 12 OF 13 PAGES Mr. Buffett may be deemed to control Berkshire Hathaway Inc. (Berkshire), which controls NICO. Thus, Mr. Buffett and Berkshire may be deemed to have beneficial ownership of the GEICO Shares. Mr. Weschler beneficially owns 2,183,180 shares of DVA Common Stock (the Weschler Shares), which represents 2.6% of the outstanding DVA Common Stock. Mr. Weschler disclaims beneficial ownership of all GEICO Shar

of this 13D is hereby amended by adding the following

Item 6 of this 13D is hereby amended by adding the following: As previously reported on a Form 8-K filed May 1, 2024 by DVA, on April 30, 2024, DVA entered into a letter agreement (the Share Repurchase Agreement) with Berkshire, on behalf of itself and its Affiliates (as defined in Rule 12b-2 under the Securities Exchange Act of 1934, as amended) (collectively, Investor), the largest stockholder of DVA. Pursuant to the Share Repurchase Agreement, at any time Investor beneficially owns at least 45.0% of the issued and outstanding Common Stock of DVA in the aggregate, DVA shall repurchase from Investor, and Investor shall sell to DVA, on a quarterly basis, a number of shares of Common Stock of DVA sufficient to return Investors aggregate beneficial ownership to 45.0% of the issued and outstanding Common Stock of DVA. The per share price DVA will pay Investor in connection with any such repurchase will be the volume-weighted average per share price paid by DVA for any shares of Common Stock of DVA repurchased by DVA from public stockholders pursuant to DVAs share repurchase plan during the applicable repurchase period. Repurchases of shares of Common Stock of DVA by DVA from Investor under the Share Repurchase Agreement will occur on the date that is two business days prior to the date of DVAs regular quarterly or annual (as applicable) investor call to report earnings (as publicly announced by DVA); however, if at any time DVA determines that Investor owns or will own (whether of record or beneficially) shares of Common Stock of DVA representing more than 49.5% of the issued and outstanding Common Stock of DVA in the aggregate, such determination will trigger immediate share repurchases by DVA under the Share Repurchase Agreement. In addition, pursuant to the Share Repurchase Agreement, Investor also agreed that it would cause any share of Common Stock of DVA that it beneficially owns in excess of 40% of the aggregate issued and outstanding shares of Common Stoc

of this 13D is hereby amended by adding the following

Item 7 of this 13D is hereby amended by adding the following: Exhibit No. Description of Exhibit (E) Share Repurchase Agreement, dated April 30, 2024, by and between DaVita Inc. and Berkshire Hathaway Inc. (incorporated by reference to Exhibit 10.1 to Form 8-K filed by DaVita with the SEC on May 1, 2024) CUSIP NO. 23918K108 SCHEDULE 13D PAGE 13 OF 13 PAGES After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this Statement on Schedule 13D is true, complete, and correct. Dated: August 8, 2024 /s/ Warren E. Buffett Warren E. Buffett BERKSHIRE HATHAWAY INC. By: /s/ Warren E. Buffett Warren E. Buffett Chairman of the Board NATIONAL INDEMNITY COMPANY, GEICO CORPORATION, GOVERNMENT EMPLOYEES INSURANCE COMPANY, BERKSHIRE HATHAWAY CONSOLIDATED PENSION PLAN MASTER TRUST, BNSF MASTER RETIREMENT TRUST, AND SCOTT FETZER COMPANY COLLECTIVE INVESTMENT TRUST By: /s/ Warren E. Buffett Warren E. Buffett Attorney-in-Fact /s/ R. Ted Weschler R. Ted Weschler Exhibit 1 CERTAIN INFORMATION ABOUT THE REPORTING PERSONS AND THE EXECUTIVE OFFICERS AND DIRECTORS OF THE REPORTING PERSONS Set forth below is information about (i) the name, state of organization, principal business, and the address of the principal office of each of the Berkshire Entities and (ii) the name and title of each executive officer and director of the Berkshire Entities, his or her business address, and his or her present principal occupation or employment, and the name, principal business, and address of any corporation or other organization in which such employment is conducted. Each natural person listed below is a citizen of the United States. (1) Berkshire Hathaway Inc. Berkshire Hathaway Inc., a Delaware corporation (Berkshire), is a holding company engaged through its subsidiaries in a number of diverse businesses, the most important of which is property and casualty insurance and reinsurance offered

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View this SC 13D/A filing on SEC EDGAR