Berkshire Hathaway vice chairman Greg Abel will be the conglomerate’s next CEO after founder Warren Buffett is no longer in office, the company revealed over the weekend. Buffett has no plans to step down anytime soon, so the news does not reveal an imminent change to the company.
But Berkshire second-in-command Charlie Munger blurted out over the weekend that the plan was for Abel to be the next CEO of the Buffett Empire began when he bought shares in a textile factory based in Omaha, Nebraska in 1962, and did. the holding company of an investment conglomerate with nearly US $ 900 billion in assets.
Buffett himself confirmed the plan in an interview with US financial news channel CNBC on Monday.
Speaking at the weekend’s annual meeting about the importance of protecting Berkshire’s culture going forward, Buffett said Berkshire’s highly decentralized operating model will only work if the company has the right culture.
Munger, 96, replied, “But we do, and Greg will keep the culture. “
Buffett, 90, told CNBC that if anything happened to him, Abel would be the one to take the first job.
“The directors agree that if anything happened to me tonight, it would be Greg taking over tomorrow morning,” Buffett told CNBC.
Abel was born in Edmonton, Alberta on June 1, 1962, making him almost 59 years old. He was educated at the University of Alberta with a business degree and is an accountant by training. He runs the non-insurance portion of the Berkshire business.
Berkshire’s succession plan was never made public, although the company has long said it plans to split Buffett’s current role into three: one person to manage operations at Berkshire and related companies, and decide how to allocate capital to them. . A second job will be to manage and select publicly traded stocks for the company to buy, and a third role will be that of chairman of the board.
The second executive role will go to Ajit Jain, 69, who runs Geico and other insurance companies.
Buffett’s eldest son Howard Buffett, who already sits on Berkshire’s board, is likely to become the next chairman of the company.