Taylor Morrison shares surge on Berkshire takeover

Berkshire Hathaway

01/06/2026 11:29

** Taylor Morrison Home Corp TMHC.N shares jump about 22% to $71.3 in premarket trading after Berkshire Hathaway BRKa.N agrees to acquire the homebuilder in a $6.8 billion all-cash deal
** Berkshire will pay $72.50 per share, a 24% premium to Friday's close, valuing the company at $8.5 billion enterprise value
** The acquisition marks Greg Abel's first multi‑billion-dollar takeover since becoming CEO in early 2026, signaling a more active use of Berkshire's $380 billion cash pile
** Analysts at Barclays said the deal represents a "favorable outcome" for Taylor Morrison shareholders, noting the company had been "chronically inexpensive" and the transaction should help "realize the improved value… quickly"
** Barclays added the deal reinforces the value in small- and mid-cap homebuilders and could point to more consolidation ahead in the sector
** CEO Sheryl Palmer will remain in charge, with the deal expected to close in H2 2026, subject to approvals
** YTD, TMHC is down 0.6% 

 (Reporting by Rashika Singh in Bengaluru)
 ((Rashika.Singh@thomsonreuters.com;))