Oxy

Looks like we have almost 27% of Oxy not counting the warrants.

I didn’t think Warren would go for the whole thing but he seems hungry

https://www.bloomberg.com/news/articles/2022-09-09/buffett-s…

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https://fintel.io/so/us/oxy/berkshire-hathaway

the 26.8% doesn’t include the warrants

Just read the filing. So much misreporting on this. Berkshire hasn’t purchased any additional OXY since the last Form 4 and no new Form 4 was filed. The 26.x% includes the unexercised warrant shares and it says so clearly in the filing.

https://www.sec.gov/Archives/edgar/data/797468/0001193125222…

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This was a Schedule 13G Filing. The website provides a good explanation of who has to file and when.
We can expect monthly filings around the 10th of the month if there are changes in the position.

I wonder if the warrants have to be included if stock trades below strike price?

https://www.mintz.com/sites/default/files/viewpoints/orig/14…

Qualified Institutional Investor Schedule 13G Filing Requirements.

Qualified Institutional Investors only report their greater than 5% positions held as of the
close of the calendar year either in an initial report or in an amendment in the case of any change
in the information provided. However, if prior to the end of the calendar year the Qualified
Institutional Investor owns more than 10% as of the close of any month, a Schedule 13G must be
filed or amended within 10 calendar days reporting the holdings as of the close of the month.
After crossing the 10% threshold, Qualified Institutional Investors must file an amendment to
their Schedule 13G within 10 calendar days following the close of the month to report any
ownership change of 5% or more as of the close of the month

Page B1 of today’s Wall Street Journal:

"A CEO’s Big Bet On Big Oil Pays Off

Occidental Petroleum’s Vicki Hollub, facing a revolt led by Carl Icahn, got help from rising crude prices and Warren Buffett

Occidental Petroleum Corp. entered the thick of the pandemic among the worst prepared of its U.S. oil-and-gas peers. Struggling with debt from an ill-timed $38 billion deal, Chief Executive Vicki Hollub was fending off activist investor Carl Icahn, who controlled two board seats.

Two years later, the company has emerged as the top performer in the S& P 500, and Ms. Hollub has traded Mr. Icahn, who sold all of his Occidental shares in March, for Warren Buffett, whose Berk-shire Hathaway Inc. now owns nearly 27% of the company."

https://www.wsj.com/articles/occidental-petroleum-vicki-holl…

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Page B1 of today’s Wall Street Journal:

Snip…

"Even as Ms. Hollub wrestled with Mr. Icahn, she was building a relationship with Mr. Buffett.

In 2020, she traveled to Omaha to discuss Occidental’s long-term strategy with Mr. Buffett, according to a person familiar with the meeting. The investor expressed a strong interest in the company’s goal to become a leader in carbon capture, this person said.

Occidental says it has no plans to stop producing oil but also aims to be a leader in “carbon management.” It wants to develop 70 plants by 2035 to suck carbon dioxide out of the air, store it in the ground and sell carbon credits to businesses seeking to offset their own emissions—a technology still in its commercial infancy that received a boost thanks to tax credits included in the climate package President Biden signed into law last month. The company also plans to use the gas to squeeze more oil from underground."

https://www.wsj.com/articles/occidental-petroleum-vicki-holl…

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I wonder if the warrants have to be included if stock trades below strike price?

The unexercised warrants have always been included in Berkshire 13G filings on OXY.

Carbon capture is a joke. Trees are great at carbon capture. Cheap and look nice. Also can produce apples, cherries and peaches. I like peaches. Hydrogen is a joke too unless they get nuclear fusion to work. Talk about stupid. It takes nat gas to make hydrogen, its caustic to pipes and hard to store.

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WEB has been buying OXY below $60, so it would have been significant if he increased his position last week.

Bloomberg made a correction hat OXY stake increased:

September 9, 2022 at 5:21 PM EDTCorrectedSeptember 12, 2022 at 8:04 AM EDT

Warren Buffett’s Berkshire Hathaway Inc., which got the go-ahead last month from US regulators to buy as much as half of the oil giant, holds a 20.2% stake in Occidental Petroleum Corp.

The level of ownership was confirmed late Friday in a federal filing.

Berkshire has spent this year expanding its ownership in Occidental after first making a bet on the Houston-based oil company three years ago. In approving Berkshire’s request on Aug. 19, the Federal Energy Regulatory Commission said the proposed stock purchases would be consistent with the public interest.

(Corrects story first published Sept. 9 to show that Buffett’s stake in Occidental is unchanged and hasn’t increased.)

Mungerish, you got a link for this?

Thanks.

I told that Bloomberg journalist their story was incorrect and being copied by numerous other outlets and he waited 3 days to retract it. Which resulted in WSJ, Fortune, Yahoo Finance, and a bunch of others running the incorrect story that Warren was aggressively buying more OXY at higher prices than he has ever paid.

https://www.bloomberg.com/news/articles/2022-09-09/buffett-s…

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So much misreporting on this. Berkshire hasn’t purchased any additional OXY since the last Form 4 and no new Form 4 was filed. The 26.x% includes the unexercised warrant shares and it says so clearly in the filing.
https://www.sec.gov/Archives/edgar/data/797468/0001193125222…

Exactly:

9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

272,225,308.81 shares of Common Stock (83,858,848.81 of which represent shares underlying the Berkshire Warrants)

11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9

26.8%

Yahoo says Oxy has 931.49M shares outstanding; if there are 83.859m shares underlying the warrants, and if Oxy issued this number of new shares, they would have 1,015.35m shares outstanding, and 272,225m would represent … 26.8% of these 1.015m shares.

The 188.366m regular shares currently owned by Berkshire (272.225m-83.859m) represent 20.22% of the currently outstanding shares, just enough to get a more favourable tax treatment. This is the number that Bloomberg has on its Sep 9 article, but perhaps they have revised the article without changing the date?

It will be very interesting to see if Buffett chooses to go higher, now that this particular incentive has been obtained, making Bloomberg’s poor reporting on this question all the more misleading. I notice that on Sep 9, OXY shares jumped about $2 from $65.50, and are now back where they were before the article. Is this the true cost of a Bloomberg subscription?

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The 188.366m regular shares currently owned by Berkshire (272.225m-83.859m) represent 20.22% of the currently outstanding shares, just enough to get a more favourable tax treatment. This is the number that Bloomberg has on its Sep 9 article, but perhaps they have revised the article without changing the date?

It will be very interesting to see if Buffett chooses to go higher, now that this particular incentive has been obtained, making Bloomberg’s poor reporting on this question all the more misleading. I notice that on Sep 9, OXY shares jumped about $2 from $65.50, and are now back where they were before the article. Is this the true cost of a Bloomberg subscription?

I hadn’t noticed this, on the Bloomberg article:

September 9, 2022 at 5:21 PM EDT CorrectedSeptember 12, 2022 at 8:04 AM EDT

In other words, the jump in share price on Monday September 12 should not have come from careful Bloomberg readers, since they may have noticed that the Friday PM article (which came out after the close of markets) had already been corrected before markets opened on Monday.

dtb

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