Although the investor Multimillionaire Warren Buffett has announced no plans to step down as CEO of Berkshire Hathaway At short notice, he announced who, according to him, would be his most likely successor CNBC.
Last Saturday, the multinational conglomerate’s holding company held its annual meeting at which one person asked if the company was too big to eventually manage. In response, Vice President Greg Munger tried to address the concerns, saying his Vice President Greg Abel would see to it that Berkshire culture is preserved.
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The response seemed to suggest that 59-year-old Abel, who runs all of the company’s non-insurance businesses, would be the most likely successor if 90-year-old Buffett decided to step down.
CNBC confirmed these speculations on Monday.
“Directors agree that if something happened to me tonight, Greg would take command tomorrow morning,” Buffett was quoted as saying.
In an interview with CNBCBuffett praised both Abel and the 69-year-old Vice President Ajit Jain, who, along with managing director David Sokol, were considered top candidates for Buffett. Jain currently oversees Berkshire’s insurance operations. Sokol previously headed MidAmerican Energy (now Berkshire Hathaway Energy) and NetJets for Berkshire. He left the company in 2011 after Berkshire learned it had bought a $ 10 million stake in chemical company Lubrizol before encouraging Berkshire to buy it.
according to ReutersAbel has been recognized for his commitment to Berkshire culture and long-term thinking. The vice president graduated from the University of Alberta in 1984 and worked at PricewaterhouseCoopers and geothermal company CalEnergy before moving to MidAmerican Energy in 1992.
After succeeding Sokol as director of MidAmerican in 2008, Abel continued to grow by acquiring Nevada-based utility NV Energy and Alberta-based power transmission company AltaLink. Abel also pushed for expansion into renewable energies. He became Vice President in 2018.
“Of course, Abel doesn’t have the charisma, personality, and reputation Buffett built over the decades, so he won’t have the magnetism Buffett has,” said David Kass, professor of finance at the Robert H. Smith University of Maryland . School of Business, he said Bloomberg. “But he exudes extreme competition and success. He has a very successful track record in Berkshire and I don’t think shareholders could ask for anything more.”