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U.S. Steel President and CEO David Burrit expressed confidence in Nippon Steel
Pittsburgh’s steel giant U.S. Steel has been acquired by Japan’s largest steelmaker, Nippon Steel Corp, in a $14.9 billion deal.
The definitive agreement, announced by both companies, comes after weeks of speculation and consideration of multiple offers for the iconic Pittsburgh-based company.
U.S. Steel President and CEO David Burrit expressed confidence in Nippon Steel, citing their proven track record in the steel industry.
The sale, priced at $55 per share, represents a substantial 40% premium to U.S. Steel’s closing stock price on December 15. Burrit assured that U.S. Steel will maintain its iconic name and keep its headquarters in Pittsburgh.
Burrit emphasised the broader impact of the deal, stating, “Today’s announcement also benefits the United States — ensuring a competitive, domestic steel industry, while strengthening our presence globally.”
He highlighted the shared commitment to decarbonisation, expecting it to enhance the ability to provide innovative steel solutions aligned with sustainability goals.
The acquisition by Nippon Steel surpasses previous offers for U.S. Steel, including a $7.3 billion proposal from Cleveland-Cliffs and a $7.8 billion offer from Sewickley-based industrial conglomerate Esmark, both of which were rejected.
While U.S. Steel will maintain its headquarters in Pittsburgh, the fate of its Mon Valley steelmaking facilities remains uncertain.
Nippon Steel President Eiji Hashimoto expressed admiration for U.S. Steel’s advanced technologies, rich history, and talented workforce, envisioning a collaborative effort to elevate their aspirations.
A joint conference call has been scheduled to discuss the details of the deal with analysts, investors, and the media.
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