Cleveland-Cliffs demands U.S. Steel to reveal all buyout offers
Reuters
Published Aug 22, 2023 02:45PM ET
Updated Aug 22, 2023 04:06PM ET
(Reuters) - Cleveland-Cliffs (NYSE:CLF) said on Tuesday U.S. Steel must immediately provide the company and the United Steelworkers (USW) with information about all the proposals it has received so far as a part of its strategic review.
U.S. Steel, which rejected Cliffs' $7.3 billion cash-and-stock offer as inadequate, had earlier said it was exploring "multiple unsolicited proposals".
Under the Right to Bid provision of the labor agreement with the workers union, U.S. Steel must "promptly" notify USW and Cleveland-Cliffs if they receive a proposal from any third party, Cliffs' chief executive Lourenco Goncalves wrote in a letter to U.S. Steel.
The stance comes after the USW said last week it would only back Cleveland-Cliffs as a suitor for the company. The union believes "over the years, Cliffs has shown itself to be an outstanding employer to all of its workers".
Even if U.S. Steel has not received any bids, the company must acknowledge that no such proposals have been received, Cleveland-Cliffs said.
U.S. Steel had also attracted a $7.8 billion all-cash offer from Esmark Inc and a potential acquisition interest from ArcelorMittal (NYSE:MT) SA.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.