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Editor’s note: A previous version of this story said Berkshire Hathway was a private equity firm. It is publicly traded.
Berkshire Hathaway Inc., controlled by billionaire Warren Buffett, said Tuesday it will buy freight railroad Burlington Northern Santa Fe Corp. for $100 a share, in a transaction worth about $44 billion.
Berkshire Hathaway, which has trucking and other transportation interests, already owned about a 22% stake in BNSF and said it will split its stock 50-to-1 as part of the deal.
BNSF is the No. 2 freight railroad by revenue in the United States behind Union Pacific Corp. Both rail lines operate west of the Mississippi River. BNSF’s stock closed Monday at $76.07 per share.