Why United States Steel Stock Soared Today
Shares of United States Steel (NYSE: X) were up 26% on Monday after the American steel producer agreed to be acquired by Japan-based peer Nippon Steel Corporation (NSC).
In a press release this morning, U.S. Steel said it has agreed to be acquired by Nippon Steel for $55 per share in cash. That price is good for an enterprise value of $14.9 billion (including roughly $800 million of U.S. Steel's debt), and a roughly 40% premium from Friday's closing price. Shares closed today at $49.59 per share.
The deal effectively caps a strategic alternatives process U.S. Steel announced back in August 2023, spurred after the company received multiple unsolicited proposals ranging from the acquisition of certain assets to the purchase of the entire company.
Source Fool.com
