Berkshire Hathaway (BRK.A) to Acquire Taylor Morrison (TMHC) for $8.5 Billion in CEO Greg Abel’s First Major Deal

Berkshire Hathaway Inc. (BRK.A) said on June 2, 2026, it will buy homebuilder Taylor Morrison Home Corp. (TMHC) for $8.5 billion in cash, marking the first large acquisition under CEO Greg Abel, who succeeded Warren Buffett. The deal comes as Berkshire’s stock has dropped 13% since Buffett’s departure was announced, compared with a 33% gain for the S&P 500. Since Abel took over, shares are down 5% while the index has risen 11%. Investors have been waiting for Abel to deploy part of the conglomerate’s cash pile, which stood at $397 billion in the first quarter. CFRA analyst Catherine Seifert estimates Berkshire has $80 billion to $100 billion in “firepower” for buybacks and deals. Taylor Morrison fits neatly with Berkshire’s existing housing-related businesses, including Clayton Homes, Acme Brick, and HomeServices of America. Analysts said the purchase reaffirms Berkshire’s long-term bet on a housing recovery, but may also signal a shift. While Buffett favored extreme autonomy for subsidiaries, Abel could seek to integrate related units more tightly, potentially moving the company from a collection of businesses toward a more coordinated industrial platform.