Warren Buffett donates $5.3 billion Berkshire shares to Gates Foundation
Warren Buffett has donated $5.3 billion in Berkshire Hathaway stock to the Bill & Melinda Gates Foundation and four family charities, marking his largest annual contribution since he started his philanthropic efforts in 2006.
This donation increases his total charitable giving to approximately $57 billion. The latest contribution includes around 13 million Berkshire Class B shares, with 9.93 million shares going to the Gates Foundation.Buffett has now donated more than $43 billion in Berkshire shares to the Gates Foundation. Additionally, he gave 993,035 shares to the Susan Thompson Buffett Foundation, named after his late first wife, and 695,122 shares each to three charities managed by his children: the Howard G. Buffett Foundation, the Sherwood Foundation, and the NoVo Foundation, reported Reuters.
Despite his extensive charitable donations, Buffett still holds 14.5% of Berkshire’s outstanding shares as confirmed by a regulatory filing on Friday. Friday’s filing also suggest that based on Buffett’s holdings, Berkshire has repurchased little or none of its own stock since April 19.
Buffett’s net worth stands at $128.4 billion, making him the world’s 10th richest individual according to Forbes magazine. He attributes his wealth to several factors: the benefits of compounding, sound capital deployment at Berkshire, and what he calls the “American tailwind.”
Buffett, along with Bill Gates and Melinda French Gates, initiated the Giving Pledge, which encourages wealthy individuals to commit at least half of their wealth to philanthropy. This pledge includes names like Sam Altman, Michael Bloomberg, Carl Icahn, Elon Musk, and Mark Zuckerberg.
Despite the huge donation, the 93-year-old billionaire also announced a significant change to his long-standing philanthropic strategy. In an interview with the Wall Street Journal, Buffett said that he intends to discontinue contributions to the Bill & Melinda Gates Foundation after his passing.
Instead, the 93-year-old billionaire, who is at the helm of Berkshire Hathaway, has decided to entrust his three children with the responsibility of determining how to allocate the remainder of his $128 billion estate. According to his new plan, Howard, Susie, and Peter Buffett will need to reach a unanimous agreement on where to distribute his Berkshire Hathaway stock following his death, as per AP reports.
The Susan Thompson Buffett Foundation focuses on reproductive health. The Howard G. Buffett Foundation addresses hunger, conflict mitigation including in Ukraine, and public safety improvements. The Sherwood Foundation supports Nebraska-based nonprofits, and the NoVo Foundation focuses on initiatives for girls and women.
Billionaire US investor Buffett has also spoken favourably for India while sharing his intent to invest in the country. Last month, he said that the Indian market has “unexplored” opportunities, which his conglomerate holding company, Berkshire Hathaway, would like to explore “in the future”.