Bill Ackman is moving forward with plans to build a modern-day Berkshire Hathaway just as Warren Buffett prepares to step down from the company he took over and built into a $1.16 trillion investment holding company more than 60 years ago.
Ackman’s Pershing Square Holdings (LSE:PSH) will invest $900 million in Howard Hughes Holdings, boosting its stake in the real estate firm from 37.6% to 46.9%, the companies said on Monday.
The move comes days after Buffett announced his intention to retire as chief executive of Berkshire Hathaway at the end of the year, ending more than six decades at the helm.
Ackman has long envisioned turning Howard Hughes into a diversified holding company modelled on Buffett’s empire, acquiring controlling stakes in businesses beyond real estate.