Berkshire Hathaway has signed a deal to acquire 8.7% stake in Axalta Coating Systems from Carlyle Group for $560m.
Under the stock purchase agreement, Berkshire Hathaway will purchase 20 million Axalta's common shares at $28 each.
The transaction will be carried out through a private placement of shares.
Axalta Coating Systems chairman and CEO Charlie Shaver said: "Berkshire is the type of quality investor that Axalta has been fortunate to attract since our IPO last year.
"We believe this investment shows Berkshire's support of our strategy to reshape ourselves into a growth and customer oriented, world class coatings company."
Carlyle Group acquired DuPont Performance Coatings in 2013 for $4.9bn and renamed the company as Axalta Coating Systems.
Carlyle is looking to get more than double the cash it invested in the paint maker, reported the Wall Street Journal.
In November last year, Axalta went public through an initial public offering of 50,000,000 of its common shares at $19.5 per share.
With the latest sale and previously held IPO, Carlyle has so far gained around $2.9bn through sale of Axalta stock and currently has 46% stake in the company.
Axalta provides coatings for light OEM vehicles, commercial vehicles and refinish applications to electric motors, buildings and pipelines.
