It seems that Warren Buffett is on his way to completely pulling out of Tesco, after acknowledging that his investing in the supermarket chain in Britain was a major mistake.
When October began, Buffett and Berkshire Hathaway owned a total of 3.97%, but there is an understanding that Buffett plans to reduce his share amount to below 3%.
This decision was made at the end of a period of trouble for the British supermarket chain. At this time, share prices are at their 11 month low.
Since the company made an overestimation of their profits by £250 million, 10 of the senior executive of the corporation have either been asked to leave or they have resigned. At this time, a forensic accounts investigation is hurting the company, and the laptops of the some of the senior executives have been confiscated for investigative purposes right at the beginning of the holiday season, when the business is extremely busy.
Buffett first invested in Tesco back in 2007. Since that time, he has lost over $700 million worth of his investment, according to CNBC last September.