Diamond-O
A Canadian fishing company acquired by Berkshire Hathaway, notable as one of Buffett's few international acquisitions and a business with unique operational characteristics.
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Diamond-O
Acquired by Berkshire: 1990s Status: Berkshire Hathaway subsidiary (formerly)
Overview
Diamond-O was a Canadian fishing company that Berkshire Hathaway acquired. The company operated in the fishing industry, primarily in the Atlantic salmon and other fish markets.
Why Berkshire Acquired It
Unique Business
Fishing operations have unique characteristics:
- Renewable resource
- Limited entry/exit
- Commodity pricing
- Operating leverage
Small Acquisition
Diamond-O represented a small, opportunistic acquisition rather than a major transformative deal.
Performance
The fishing industry is notoriously difficult:
- Commodity price volatility
- Environmental factors
- Regulatory challenges
Related
- warren-buffett — Who acquired Diamond-O
- berkshire-hathaway — Parent company
- fishing — The industry
Source
Berkshire Hathaway Annual Meetings