Frankfurt — Lanxess soared in Frankfurt trading after Warren Buffett’s General Reinsurance unit bought a 3% stake, placing the US investor among the top six shareholders of the German chemicals company. The stock rose as much as 6.8%, erasing an earlier decline, after the stakeholding was disclosed in a statement to the stock exchange on Monday. Buffett, who as chairperson and largest shareholder in Berkshire Hathaway is the world’s fourth-richest person with a net worth of $74.5bn, purchased the shares on May 19. Lanxess stock, which was also trading ex-dividend, gained 6% to €66.30 as of 2.34pm in Frankfurt, a one-year high. Lanxess CEO Matthias Zachert is transforming the Cologne-based company into one of the biggest makers of additives for lubricants and flame retardants following the $2.4bn purchase last year of Chemtura and after putting the company’s rubber operations into a joint venture with Saudi Aramco. Before the Buffett stake was announced, the shares had fallen 8% sinc...
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