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U.S. Steel and Nippon Steel Gain Global Approval

United States Steel Corporation (NYSE: X) and Nippon Steel Corporation (TSE: 5401) have announced that they have received all regulatory approvals outside of the United States related to their proposed transaction. These approvals have been received from the Directorate-General for Competition of the European Commission, the Mexican Federal Economic Competition Commission, the Serbian Competition Commission, the Ministry of Economy of Slovakia, and the Turkish Competition Authority.

The special meeting of stockholders held by U.S. Steel on April 12, 2024, saw 71% of the outstanding shares of U.S. Steel common stock voting in favor of the proposed transaction, resulting in an overwhelming vote of approval of 99% of the shares represented at that meeting.

David B. Burritt, President & Chief Executive Officer of U.S. Steel, commented on the regulatory approvals, stating that the transaction with Nippon Steel is pro-competitive and supports the strategic merits of foreign investment. He emphasized that together with Nippon Steel, U.S. Steel will become a world-leading steelmaker with enhanced technologies and resources to support a stronger steel industry with enhanced competition.

Takahiro Mori, Representative Director and Vice Chairman of Nippon Steel, expressed appreciation for the significant milestone of receiving regulatory approvals necessary to consummate the transaction from all non-U.S. authorities. He reiterated the commitment of U.S. Steel and Nippon Steel to fully cooperate with the examination of the relevant authorities and to complete the transaction.

U.S. Steel and Nippon Steel currently expect that the transaction will be completed in the second half of 2024, subject to the fulfillment of the remaining, customary closing conditions, including the receipt of required U.S. regulatory approvals. Today the company's shares have moved 0.9% to a price of $37.46. If you want to know more, read the company's complete 8-K report here.

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