Billionaire investor Warren Buffett has increased its shareholding in Tesco.

The investor snapped up £350m worth of shares in the UK’s largest supermarket chain.

Buffett’s investment vehicle Berkshire Hathaway now holds a 5.1% stake in Tesco, up from 3.6%.

The buy comes following a £5bn plummet in Tesco’s share price following the grocer’s disappointing festive update last week, its worst Christmas performance in a decade.

Buffett’s acquisition sent Tesco’s share price shooting up to 322.75p from 1.75p.