Warren Buffet confirms his retirement in a missive, although he will keep his share package

American billionaire Warren Buffett will step down as chairman of Berkshire Hathaway at the end of December as planned, but will retain for the time being "a significant share of Berkshire Hathaway's management at the end of December, but will retain for the time being "a significant portion" of his shares, which ensures he retains control of the group, he said in a letter to shareholders released Monday.

In his missive, Buffett, who transformed a former textile SME into a giant of U.S. capitalism, explained that he will no longer participate in the famous general shareholders meeting, to which thousands of people travel to Nebraska each year. However, he will continue to publish his annual letter to members on the occasion of Thanksgiving.

The businessman, now 95, owned about 38% of the Type A shares at the end of October, which represent 10,000 times the voting rights of Type B securities, the most numerous.

With that volume, Buffett has about 30% of the total voting rights and thus remains the most influential shareholder of Berkshire Hathaway.

Greg Abel, Buffett's right-hand man

In his letter, Buffett expressed his intention to hold his shares "until Berkshire shareholders are comfortable with Greg Abel," who will take over as CEO of the company on Jan. 1.

The leadership transition comes as no surprise to those closest to the so-called "Oracle of Omaha." In 2021, Buffett had already publicly stated that, should anything happen to him, Abel would immediately take the helm. His appointment only formalizes a long-planned succession.

"I think the time has come when Greg should become the chief executive of the company at the end of the year," Buffett said in May this year during the highly anticipated annual shareholder meeting in Omaha, which drew thousands of investors.

Abel, 62, is an accountant by training and joined the group in 1999, when Berkshire Hathaway acquired MidAmerican Energy, where he worked. Since then, he has pledged to maintain the prudent, long-term investment strategy that Berkshire Hathaway is known for.

Warren Buffett has highlighted Abel's deep knowledge of business and his leadership skills. However, some shareholders are concerned about the departure of the businessman, considered the main architect of the group's unstoppable rise over the decades.

The billionaire specified that he himself and his partner Charlie Munger, who died in 2023, developed "a long time ago" their confidence in Abel's ability to lead Berkshire Hathaway. "My children already support Greg 100%," he added in his letter, "as do the directors of Berkshire."

Two of Buffett's three sons sit on the board and all own shares through their own foundations.