Nippon Steel has said it would sell its stake in its current joint venture if its acquisition of US Steel is completed, in a move aimed at removing antitrust concerns and smoothing the way for its buyout plan.
The Japanese steelmaker said it would transfer all the stock it has in Calvert to its 50/50 venture partner ArcelorMittal, at one dollar per share.
The sale is expected to cause Nippon Steel to incur a loss of 230 billion yen, or 1.5 billion dollars.
The company says it is “committed to enhancing American national security, as well as further enhancing resiliency of the American industrial base and supply chain, by reinforcing US Steel and its domestic production capabilities, bringing cutting-edge technologies into the United States.”