Buffett sells off ‘huge mistake’ Tesco

Warren Buffett, the legendary investor and chairman and chief executive of Berkshire Hathaway, has cut the company’s stake in U.K. supermarket Tesco.

Buffett told CNBC just a few weeks ago that buying into Tesco, which has since admitted that it overstated its first-half earnings to the tune of £250 million, was a “huge mistake.”

Berkshire, which used to own close to 5 percent of Tesco shares after Buffett bet on the grocer’s return to strength, despite a series of disappointing results, now holds less than 3 percent, according to a stock market filing on Thursday.

Adam Jeffery | CNBC Warren Buffett

Adam Jeffery | CNBC
Warren Buffett

Tesco’s share price has nearly halved in value this year. The grocer will announce the results of an internal investigation into a £250 million ($400 million) profits over-statement next Thursday, along with its quarterly results. It has already suspended eight senior executives over the over-statement.

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