Lates News

US President Trump officially approved the Japanese steel company's $14.9 billion acquisition of an American steel company on Friday. Trump signed an executive order indicating that the acquisition can proceed if both parties sign an agreement with the US Department of the Treasury to address national security concerns in the deal. The two companies subsequently announced that they had signed relevant agreements to meet the requirements of the executive order, meaning the transaction has been officially approved. According to the agreement, there is a plan to invest $11 billion by 2028, covering governance structure, capacity guarantees, and trade commitments. Both parties also mentioned that the US government will receive a "golden share" but did not disclose further details. The acquisition is seen as injecting crucial investment into the struggling American steel company and providing opportunities for the Japanese steel company to participate in various infrastructure projects in the US. This approval also exempts the Japanese steel company from paying a $565 million break-up fee in case the deal fails.