Berkshire Cuts Deal To Buy Dairy Queen

Warren Buffett’s Berkshire Hathaway Inc. announced Tuesday it is buying International Dairy Queen Inc. for $585 million worth of Berkshire stock.

Minneapolis-based Dairy Queen would become a wholly-owned subsidiary of Berkshire Hathaway. John Mooty, Dairy Queen’s 74-year-old chairman, said his family’s 35 percent stake will vote in favor of the deal.

Holders of Dairy Queen common stock can receive either $27 in cash or $26 in Berkshire Hathaway common stock, but Berkshire won’t pay more than 55 percent of the price in cash.