Nippon Steel plans to sell assets worth at least 30 billion yen ($211 million) this fiscal year to manage its debt, the Nikkei reported on Friday, citing a statement from its vice chairman, as the company awaits a decision on the fate of its purchase of US Steel for $14.9 billion.
Earlier this year, Nippon Steel agreed with three Japanese megabanks to borrow $16 billion to finance its acquisition of US Steel. However, the deal faces political opposition in the United States amid the November 5 presidential election.
Nippon Steel plans to sell assets worth at least 30 billion yen, including real estate and inventory, to improve capital efficiency amid its takeover of US Steel, the Japanese steelmaker's Vice Chairman Takahiro Mori said, Nikkei news agency reported.
The Japanese company's debt-to-equity ratio is expected to increase from 0.5 to 0.9 as a result of the US Steel deal, which both companies expect to close by the end of December, pending approval.
Mori told Nikkei the figure could drop to 0.7 by the end of March if certain steps are taken.
Nippon Steel to sell $111 million worth of assets to manage debt in deal with US Steel
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Azovpromstal® 22 September 2024 г. 13:29 |
