Nippon Steel's $14.9 Billion Struggle: The Battle to Acquire U.S. Steel

Nippon Steel's bid to acquire U.S. Steel for $14.9 billion faces national security scrutiny from CFIUS. Despite revised proposals and multiple meetings with U.S. officials, approval remains elusive. President Biden may ultimately decide the deal's fate amid significant investment promises by Nippon Steel.

Nippon Steel's $14.9 billion bid to acquire U.S. Steel is facing significant obstacles as national security concerns take center stage. Despite numerous revised proposals and ongoing discussions with U.S. officials, approval has not yet been secured from the powerful Committee on Foreign Investment in the United States (CFIUS).

A letter dated Saturday reveals the ongoing challenges, highlighting four in-person meetings with CFIUS and several calls, including discussions with the Treasury and Commerce department secretaries. CFIUS has a December 23 deadline to make a decision, which could involve extending their review or letting President Biden ultimately block the deal.

Nippon Steel's commitment to invest significantly and ensure a prosperous future for U.S. Steel underlines the stakes involved. The lack of resources at U.S. Steel makes Nippon Steel's investment promises all the more critical, as stated in their public comments supporting the deal.

(With inputs from agencies.)