Warren Buffet, through Berkshire Hathaway and its vast holdings, touches just about every life in the country.
If you doubt it, when you’re writing those monthly electric bill checks you’re adding to Buffet’s billions.
Now the Oracle of Omaha is buying into the auto retailing market.
That could make things more interesting for Lithia Motors, which just closed its deal purchase DCH Auto Group Inc. DCH operates 27 dealerships in Southern California, New Jersey and New York. Combined with its exisiting 101 operations Lithia now has a hand in 128 locations nationwide.
Combined with DCH sales, Lithia Motors is now a $5 billion-plus firm and the eighth-largest U.S. retailer with plenty of upside.
Asked about Buffett’s entry into auto retailing, Lithia Chairman Sid DeBoer saw the move as a reassuring pat on the back.
“It confirms what we have known for years,” DeBoer said. “Auto retailing is a great business.”
Berkshire Thursday agreed to buy Van Tuyl Group, the fifth-largest auto dealership firm with 78 dealerships from California to Florida.
As has been the case with the DeBoer family, Buffett said in a CNBC interview he anticipates plenty of family-owned dealerships are ripe for the picking.