Warren Buffet fueled speculation about a major carrier takeover after he said he wouldn’t rule out owning an entire airline.
The Berkshire Hathaway CEO already owns 8.1 percent of Southwest as well as major stakes in American, Delta, and United. However, according to ABC News, analysts seem to think Southwest would be the more natural choice due to its investment-grade credit rating, low-cost business model, and opportunities for growth. The cost? It would be about $33 billion to acquire Southwest!
If there’s a sale happening in the future, Southwest doesn’t know about it yet! Southwest Chairman and CEO Gary Kelly says that he hasn’t heard anything about a possible sale. Noting that he talks to all shareholders regularly, “but obviously I can’t speak for them or what their interest might be.”