Current:Home > ScamsUS Steel to be acquired by Japan's Nippon Steel for nearly $15 billion, companies announce-Angel Dreamer Wealth Society D1 Reviews & Insights
US Steel to be acquired by Japan's Nippon Steel for nearly $15 billion, companies announce
View Date:2024-12-23 23:50:45
Nippon Steel Corporation, the largest steelmaker in Japan, is acquiring the United States Steel Corporation for almost $15 billion, the two companies announced Monday.
According to a release, Nippon Steel Corporation, or NSC, is acquiring U.S. Steel in an all-cash transaction at $55 per share for a total enterprise value of $14.9 billion. The transaction was unanimously approved by the board of directors at both U.S. Steel and NSC, and is expected to close in the second or third quarter of the 2024 calendar year.
The companies say the acquisition will further diversify NSC's global footprint by significantly expanding its current production in the U.S., and the company's total annual crude steel capacity is expected to reach 86 million tons.
In August, U.S. Steel rejected a $7.3 billion buyout proposal offer from rival Cleveland Cliffs, the Associated Press reported, around half of what NSC offered to acquire the company on Monday.
Even after U.S. Steel is acquired, it will retain its name, brand and headquarters in Pittsburgh, Pennsylvania, where it was founded in 1901 by JP Morgan and steel magnate Andrew Carnegie.
Congressional Budget Office:Expect higher unemployment and lower inflation in 2024
With the acquisition of U.S. Steel, any commitment with its employees, including collective bargaining agreements in place with its unions, will be honored, and NSC said it is committed to maintaining those relationships uninterrupted.
Both U.S. Steel and NSC said they share a commitment to decarbonize by 2050, and that "solving sustainability challenges is a fundamental pillar of a steelmaker's existence and growth."
“We are excited that this transaction brings together two companies with world-leading technologies and manufacturing capabilities, demonstrating our mission to serve customers worldwide, as well as our commitment to building a more environmentally friendly society through the decarbonization of steel," NSC President Eiji Hashimoto said in a release.
David B. Burritt, U.S. Steel's president and CEO, said the announcement also benefits the U.S., "ensuring a competitive, domestic steel industry, while strengthening our presence globally."
US Steel stock price
United States Steel Corporation (X) closed Friday trading at $39.33 per share.
Contributing: Associated Press.
veryGood! (6)
Related
- Pie, meet donuts: Krispy Kreme releases Thanksgiving pie flavor ahead of holidays
- Takeaways from AP’s report on the dilemmas facing Palestinian Americans ahead of US election
- Caleb Williams has forgettable NFL debut with Chicago Bears – except for the end result
- Powerball winning numbers for September 7: Jackpot climbs to $112 million
- Dramatic video shows Phoenix police rescue, pull man from car submerged in pool: Watch
- How to Watch the 2024 MTV VMAs on TV and Online
- Trader Joe's viral mini tote bags returning soon
- 32 things we learned in NFL Week 1: Top players, teams make opening statements
- Kalen DeBoer, Jalen Milroe save Alabama football season, as LSU's Brian Kelly goes splat
- What is world's smallest cat? Get to know the tiniest cat breed
Ranking
- Target will be closed on Thanksgiving: Here’s when stores open on Black Friday
- Bruce Springsteen’s Wife Patti Scialfa Shares Blood Cancer Diagnosis
- Horoscopes Today, September 7, 2024
- Bruce Springsteen's wife Patti Scialfa reveals blood cancer diagnosis
- Chris Evans Shares Thoughts on Starting a Family With Wife Alba Baptista
- 'Best contract we've negotiated': Union, Boeing reach tentative deal amid strike threat
- A 9/11 anniversary tradition is handed down to a new generation
- Billie Jean King wants to help carve 'pathway' for MLB's first female player
Recommendation
-
Early Black Friday Deals: 70% Off Apple, Dyson, Tarte, Barefoot Dreams, Le Creuset & More + Free Shipping
-
Judge orders psychological evaluation for white homeowner who shot Ralph Yarl
-
Ryan Blaney surges in NASCAR playoff standings, Kyle Larson takes a tumble after Atlanta
-
NFL Week 1 winners, losers: Lions get gritty in crunch time vs. Rams
-
Why the US celebrates Veterans Day and how the holiday has changed over time
-
Shailene Woodley Shares Outlook on Love 2 Years After Aaron Rodgers Breakup
-
Takeaways from AP’s report on how Duck Valley Indian Reservation’s water and soil is contaminated
-
Missing California woman found alive after 12 days in the wilderness