SUNDAY, DECEMBER 21, 2008 - VOL. CCLII NO. 140

Constellation Energy Group (CEG): Arbitrage Opportunity

In Arbitrage, Berkshire Hathaway, Warren Buffett on September 19, 2008 at 10:35 am

U P D A T E

It appears prudent to sell now as CEG’s last quote is a dollar above the stipulated offer price.

T H E S I S

The public utility subsidiary of Berkshire Hathaway will acquire Constellation Energy Group for $26.50 in cash—18% higher than the last quote. A synopsis of the company’s operations can be found here: