Warren Buffett's Berkshire Hathaway has increased its stake in Burlington Northern Santa Fe to over 20 percent with another options-related stock buy.
In its second SEC filing in three days, Berkshire reveals it bought a total of 2,217,500 shares on Thursday, December 11 for just over $167 million. Average price: $75.45, on a day the stock traded between $74.20 and $77.44.
That brings its total holdings in the freight railroad to 70,089,029 shares, or 20.47 percent of Burlington's stock.
It's a second set of option-related purchases. In October, Berkshire wrote put options on the shares, agreeing to buy them at a set price this month in exchange for a cash payment at the time. It's a form of insurance, designed to limit the potential losses of holding Burlington stock for the buyers of the options.