Jim Cramer Explains Why He Likes Berkshire Hathaway's (BRK.A) Acquisition of Duracell

NEW YORK (TheStreet) -- Berkshire Hathaway  (BRK.A) announced Thursday it would buy Duracell from Procter & Gamble  (PG) for $4.7 billion, and TheStreet's Jim Cramer likes the acquisition.

Cramer says customers are still buying Duracell when they go into a drug store or convenience store and believes it's remarkable that a company like Perrigo  (PRGO) has not created a store-brand battery that people buy.

Cramer says Duracell has convinced people that it has a technological edge, and Warren Buffett has now added another stable brand under his belt to go along with unassailable brands such as Heinz.

 

Furthermore, Cramer says Procter & Gamble is doing a lot of things right by getting out of businesses they have been doubting and going into higher-margin areas. He says any weakness in P&G stock as a result of this deal is a mistake because the company will now buy back stock and boost the dividend. Cramer says Procter is "A-OK" with him.

 

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