North America’s business magnate, the most successful and one of the richest people in the world, Warren Buffett and his company, Berkshire Hathaway, both went on shopping this week. However, these were not some ordinary purchases.

Buffett purchased 5.5 percent stake in International Business Machine (IBM) out of his own pocket; he disclosed the agreement on Monday. Whereas Berkshire bought stocks in several companies enhancing their portfolio and including technology companies into
the fold.

The world’s wealthiest holding company purchased 5.7 million shares of CVS Caremark, 4.2 million shares of Direct TV, 3.1 million General Dynamics’ stock, 9.3 million stock in Intel and 2.3 million shares in Visa.

The total expenditure accumulated to a mere $200 Million that populated the $59 Billion dollar company’s list with the aforesaid companies.

IBM’s share took a bump in the stock exchange when Buffett announced the deal but at the end of the day’s work, profits slipped away and the stock was inflicted by a 0.1% loss.

On the other hand, Intel and Direct TV saw a 0.3 and 0.9 percent raise in the profits when the stock holders received news that Berkshire has purchased stake in Intel and DTV.

This sudden shopping might give an insight that the company is visualizing a new path in the future. In late 90s, when the dotcom bubble was on its peak, Buffett refused to deal with IT companies, quoting that he will deal with companies he felt comfortable

However, with a new succession line in order to take over the company’s operations, Buffett, it seems, has given up his ideology. Todd Combs, brought on board the Berkshire arc this year, is speculated to become the heir to the multi-billion dollar empire.
Many of this week’s transactions are said to be his work of art.

In 2010, Buffett himself announced that he would be succeeded by one CEO and three or four investment managers. Among them Combs seems to be the major contender.