Breaking News from CNBC's Andrew Ross Sorkin: Berkshire Hathaway & 3G Buying Heinz for $72.50 a Share, $28 Billion
When: Today, Thursday, February 14th at 7:45AM ET
Where: CNBC's "Squawk Box"
Following is the unofficial transcript of breaking news from CNBC's Andrew Ross Sorkin today on "Squawk Box" at 7:45AM ET. Here is an embeddable link to the video: http://video.cnbc.com/gallery/?video=3000148042.
All references must be sourced to CNBC.
ANDREW ROSS SORKIN: WE HAVE SOME BREAKING NEWS TO BRING YOU, SOURCES TELLING CNBC THAT BERKSHIRE HATHAWAY AND 3G ARE PREPARED TO BUY HEINZ FOR $28 BILLION. THAT IS A TOTAL OF $72.50 A SHARE, THAT'S WHAT OUR SOURCES ARE TELLING US. IT'S A 20% PREMIUM--
JOE KERNEN: ARE YOU KIDDING ME?
SORKIN: I'M NOT KIDDING YOU.
KERNEN: SHUT THE FRONT DOOR, THIS REALLY IS—BERKSHIRE HATHAWAY IS BUYING HEINZ?
SORKIN: THIS IS HAPPENING. BERKSHIRE HATHAWAY AND 3G ARE BUYING HEINZ $72.50 A SHARE, IT'S A 20% PREMIUM. GIVE YOU SOME OF THE DETAILS, BERKSHIRE IS GOING TO—
KERNEN: AND THIS IS NOT OUT?
SORKIN: THIS IS NOT OUT YET. BERKSHIRE IS GOING TO BE PUTTING IN $4.5 BILLION OF EQUITY, 3G IS ALSO GOING TO BE PUTTING IN $4.5 BILLION OF EQUITY, THERE'S AN ADDITIONAL $9 BILLION OF PREFERRED THAT ARE GOING TO BE JOINING THIS. WE SHOULD BE HEARING OFFICIALLY ABOUT THIS TRANSACTION PERHAPS IN THE NEXT HALFHOUR.
KERNEN: LAST TIME HE WAS ON HE SAID HE—AND YOU KNOW WHAT WHY DIDN'T WE THINK HEINZ. I KIND OF DID I THINK—
BECKY QUICK: FROM HIS ELEPHANT HUNTING?
KERNEN: HE WAS GOING TO ELEPHANT HUNTING. THIS IS RIGHT UP HIS ALLEY IN TERMS OF CONSUMER PRODUCTS
QUICK: HEINZ IS NOT ONLY KETCHUP, I'M JUST LOOKING THROUGH HERE, THEY ALSO MAKE ORE-IDA, ALL OF THE POTATOES THAT GO ALONG WITH THOSE THINGS. HEINZ BEANS, BUT HEINZ THE KETCHUP, I MEAN IT'S HARD TO THINK OF A SECOND PLACE BEHIND—
KERNEN: HE LOVES BIG ACQUISITIONS. HE MAKES ONE EVERY COUPLE YEARS. WHAT WAS HIS LAST ONE?
QUICK: BURLINGTON NORTHERN
JACK WELCH: BURLINGTON NORTHERN
QUICK: BURLINGTON WAS ABOUT $34 BILLION ACQUISITION. SO THAT WAS A MASSIVE, MASSIVE ONE. THIS ONE'S HUGE TOO AT 28.
SORKIN: $28 BILLION THAT'S A BIG DEAL. ALSO WORTH NOTING 3G IS A CONSORTIUM OF BRAZILIAN INVESTORS. YOU MAY REMEMBER 3G BECAUSE THEY PARTICIPATED IN BUYING BURGER KING ABOUT 2 YEARS AGO. SO A BIG DEAL—WE HAVE A LOT OF BIG DEALS TODAY.
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