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VeriSign Announces Berkshire Hathaway Sells 4.3M Shares at $282.15/Share.
ByAinvest
Friday, Aug 1, 2025 7:07 pm ET1min read
VeriSign Inc. (VRSN) has reported that Berkshire Hathaway Inc., a 10% owner of the company, has executed a sale of 4,300,000 shares at a price of $282.15 per share on July 30, 2025.
VeriSign Inc. (VRSN) has reported that Berkshire Hathaway Inc., a 10% owner of the company, has executed a sale of 4,300,000 shares at a price of $282.15 per share on July 30, 2025. The sale, which was part of an underwritten secondary offering managed by J.P. Morgan Securities LLC, raised $1.23 billion [1][2].The transaction reduced Berkshire's ownership stake in VeriSign from 14.2% to 9.6%, triggering a drop of over 7% in VeriSign's share price. The share offering was priced at a discount of nearly 7% to the prior trading day's close, indicating a strategic move to reduce Berkshire's regulatory obligations [1][2].
VeriSign's shares fell more than 7% in early trading on Tuesday following the announcement. The sale was intended to lower Berkshire's stake to below the 10% threshold, which would have triggered additional regulatory obligations [1][2].
Berkshire's remaining holdings in VeriSign are now subject to a 365-day lock-up agreement, restricting further sales. This move positions Berkshire below the 10% threshold, lessening its regulatory filing duties [1][2].
The sale of VeriSign shares by Berkshire Hathaway is part of a broader strategy to manage its portfolio and reduce regulatory burdens. Berkshire Hathaway has been a significant shareholder in VeriSign since 2012, and prior to the sale owned nearly 13.3 million shares worth about $4.07 billion [1].
VeriSign shares have risen more than six-fold since Berkshire began buying, reflecting the company's strong performance in the domain name registry and internet infrastructure sectors [1].
Analysts have noted that the sale could drive near-term weakness in VeriSign's stock and raise questions about Berkshire's ultimate intentions with the stock. However, the focus remains on VeriSign's domain growth, which is strong and improving [1].
References:
[1] https://finance.yahoo.com/news/verisign-falls-buffetts-berkshire-sells-143826518.html
[2] https://www.cnbc.com/2025/08/01/cramers-palantir-berkshire-hathaway-disney-mcdonalds-earnings.html
[3] https://za.investing.com/news/sec-filings/berkshire-hathaway-to-reduce-verisign-stake-through-123-billion-stock-offering-93CH-3811387
[4] https://mlq.ai/news/berkshire-hathaway-sells-12b-verisign-stake-drops-below-10-threshold/
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