United States Steel Corporation has closed its acquisition of the remaining equity of Big River Steel for approximately $774 million from cash on hand. The transaction met customary closing conditions, including antitrust approval from the United States Department of Justice.
“We are creating the first ‘Best of Both’ integrated and mini mill steel company. Taking a page from the Big River Steel playbook, we are closing on this world competitive green steel asset purchase under budget and ahead of schedule,” said U. S. Steel President and Chief Executive Officer David Burritt. “Our customers now have access to a truly sustainable source of the most advanced high strength steels. Our customer-centric organization will provide customers, employees, communities and investors with the world competitive advantages from the most advanced process technology and the intellectual capital necessary to produce the most advanced products.”
“The innovative and entrepreneurial collaboration we are already seeing has us even more enthused about the potential for our people and our ‘Best of Both’ company. This is not an either/or initiative where you compromise the competitive advantage of one versus the other. Instead, we are dedicated to encouraging and sharing the best attributes of both, to the benefit of our customers. We fully expect to generate profitable growth quickly in 2021 and enable a more nimble, innovative, and cost-effective company across the business cycle.”
Barclays served as exclusive M&A financial advisor, while PJT Partners and Rothschild & Co. served as financing advisors to U. S. Steel on the acquisition, and Milbank LLP provided legal counsel.