Berkshire Hathaway to buy Taylor Morrison for $8.5 billion in housing push

A woman looks at real estate listings outside a Berkshire Hathaway Home Services office in Montclair, N.J. Adam Jeffery | CNBC Berkshire Hathaway has agreed to acquire Taylor Morrison Home in an all-cash deal valued at about $8.5 billion, the companies said in a joint statement on Sunday, marking an expansion of the conglomerate's housing business. Under the terms, Berkshire will acquire the homebuilder for $72.50 per common share in cash, valuing Taylor Morrison's equity at around $6.8 billion. The offer represents a premium of about 24% to the company's closing stock price of $58.50 on Friday. The deal underscores Berkshire's long-standing interest in housing, historically centered around Clayton Homes, which it acquired in 2003. Berkshire Chief Executive Greg Abel said the acquisition would help broaden Berkshire's footprint into site-built homes, with potential to combine operations over time. "We are excited to welcome Taylor Morrison into Berkshire's portfolio," Abel said in a statement, adding the company could help expand access to homeownership. Taylor Morrison Chief Executive Sheryl Palmer said the deal would provide the homebuilder with financial backing and a long-term investment horizon aligned with the multi-year nature of housing development. …