Warren Buffett, the chairman of Berkshire Hathaway, acknowledged that investing in Tesco, the largest retailer in the UK, was a terrible error.
Speaking to CNBC on Thursday, the Omaha businessman said: “I made a mistake on Tesco. That was a huge mistake by me.”
Buffett is Tesco's fourth-biggest shareholder since he started buying the supermarket's shares in 2007. In 2013, he owned 301 million shares, about 3.7% of the company, the FT reported.
According CNBC, Buffett has lost more than $700 million on his investment.
Tesco is struggling to compete with other discounts retailers like Aldi and Lidl, and its shares are at an 11-year low. The share price dropped by 49% this year and received a further blow last month when the retailer announced it had overstated its profits by 250 million pounds.
NOW WATCH: 5 Ways Retailers Trick You Into Spending More Money
SEE ALSO: Warren Buffett On Auto Dealers, Burger King, And Interest Rates