Posted on 19 Jan 2021
Pittsburgh-based steelmaker United States Steel Corporation (U.S. Steel) announced that it has completed the acquisition of Big River Steel by purchasing the remaining equity. The $774 million acquisition deal had cleared all necessary regulatory approvals, including antitrust approval from the U.S. State Department of Justice (DOJ).
The company management is expected to disclose additional details on Big River Steel acquisition during the Q4 2020 earnings conference call, scheduled to be held on 29th January, 2021.
The company had acquired 49.9% stake in Big River Steel in October last year. At that time, it had disclosed its intention to acquire the remaining stake any time before end-2023. The recent announcement suggests that U.S. Steel has successfully closed in on the asset purchase under budget and ahead of schedule.
Commenting on the milestone development, David Burritt, President and CEO, U.S. Steel said that the deal has created North America’s only customer-focused “Best-of-Both” steelmaker, by combining world-competitive integrated and mini mill technologies. The entity is expected to generate profitable growth quickly in 2021, he added.
Barclays served as the exclusive M&A financial advisor to the transaction. The financing advisers to U.S. Steel were PJT Partners and Rothschild & Co. Also, Milbank LLP provided legal counsel.
Source:Scrap Monster
