North America
Aperam
Aperam, headquartered in Luxembourg, has entered into a definitive agreement to acquire the American company Universal Stainless.
The $45 per share all-cash offer represents a 3.6% premium to the closing price of Universal shares on October 16, the day before the announcement. This values the company at US$539 million.
Acquisition, which is expected to be completed in the first half of 2025, remains subject to shareholder and regulatory approvals. It is part of Aperam's plan to expand its presence in North American markets. The steel mill expects to achieve annual synergies and cost savings totaling $30 million.
AM/NS Calvert
Nippon Steel has agreed to sell its 50% stake in AM/NS Calvert to its joint venture partner ArcelorMittal.
Sale of Nippon's share in the Alabama company - for a nominal fee of $1 - is subject to the US Steel acquisition being approved by US authorities and will only take place if the acquisition is completed. Nippon Steel will also provide ArcelorMittal with nearly US$0.9 billion in cash support and loan forgiveness upon completion of the agreement.
The Japanese steelmaker said in a statement that it considered the sale "the most reliable way to resolve any antitrust problems." Currently, the AM/NS plant produces a wide range of hot-rolled, cold-rolled and galvanized coils and sheets.
Asia
Acerinox
Acerinox has entered into an agreement to sell its Malaysian subsidiary Bahru Stainless to Worldwide Stainless for US$95 million.
Spain-based Acerinox expects its sale to Malaysia company will be completed by the end of November.
Acerinox has stopped production at the Bahru Stainless plant in May 2024, citing difficult market conditions caused by competition from Chinese manufacturers.
Located in Pasir Gudang, the plant is Malaysia's only manufacturer of cold-rolled stainless steel. In 2023, it produced 77,000 tons of cold-rolled stainless steel flat products.
Nippon Steel
Nippon Steel Stainless Steel Corporation, currently a subsidiary of Nippon Steel, is preparing to merge with its parent company.
According to Nippon Steel, the move will simplify the company's corporate structure and consolidate the business to achieve strategic, financial and operational benefits.
Due to their current relationship, neither company is required to obtain shareholder approval to proceed with the transaction. No shares or cash will vest when the merger is completed on April 1, 2025.
Nippon/Posco
Nippon Steel plans to sell its remaining shares in South Korean steel producer Posco.
2.9 million shares it currently owns represent a 3.3% stake in Posco. The company said the timing of the sale will be determined by market trends.
Earlier, in the summer of 2016, Nippon sold 1.5 million Posco shares. The company said that despite the plan to sell the remaining shares, the two companies will continue the "strategic alliance relationship" they formed in 2000.
