Nippon Steel to sell its 3.4% stake in South Korea's POSCO

Japanese company seeks capital efficiency amid bid to acquire U.S. Steel

20240924 NIPPON STEEL

Nippon Steel plans to sell its 3.4% stake in South Korean steelmaker POSCO. (Photo by Hirofumi Yamamoto)

SAYUMI TAKE, Nikkei staff writer

TOKYO -- Nippon Steel said Tuesday that it will sell all of its shares in South Korean steel group POSCO Holdings to "improve capital efficiency" as it divests from a stockholding relationship dating back a quarter century.

The announcement, which came in a news release and a filing to the Tokyo Stock Exchange, did not elaborate on what improvements are expected. But the plan comes as Nippon Steel is pursuing a high stakes acquisition of U.S. Steel.

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