The 122-year-old US Steel is reviewing "numerous" buyout offers

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After receiving two buyout offers in the past month, U.S. Steel Tuesday that it is in the process of reviewing multiple offers for the storied company and symbol of American industrialization.

U.S. Steel rejected a $7.3 billion buyout proposal from rival Cleveland-Cliffs two weeks ago, and that offer was followed by $7.8 billion bid from the industrial conglomerate Esmark. Shares of the Pittsburgh steelmaker soared more than 30% on speculation that a deal was imminent.

In a letter to shareholders Tuesday, U.S. Steel said it had entered into confidentiality agreements with “numerous” third parties and was beginning to share due diligence information with potential buyers.

“Our number one obligation is to uphold our fiduciary duties,” the company wrote in the letter. “This means that we are focused on the path forward for our Company that drives the most value for you — our stockholders.”

Shares climbed another 2% Tuesday.


[link:https://finance.yahoo.com/news/122-old-us-steel-reviewing-160314746.html|

Putting it under Pennsylvania since this is a historical company in the Commonwealth.

[FakeNoose]

1. Most folks in Pittsburgh know

... that U.S. Steel Corp. was created when Andrew Carnegie sold the Carnegie Steel Company to J.P Morgan and his investors in 1892. But it took Mr. Carnegie and his brother over 20 years to assemble the various plants and mills around the city and form the world-famous steel manufacturer that it eventually became. Pittsburgh has been known as the Steel City for the last 150 years, but that could all go away if this deal happens.

https://en.wikipedia.org/wiki/Carnegie_Steel_Company

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2. One of The Last Fully Integrated Steel Mills

Operates in Allegheny County. This includes the Clairton Coke works, the Edgar Thompson plant and the Irvin Rolling mill.

It would be bitter sweet to see these go. On one hand, these plants are significant polluters that impact nearby communities. And on the other hand, they provide decent jobs for those who work there and contribute to the local tax base.

[FakeNoose]

3. They might not leave, but a new owner might shut them down

... if they turn out to be a problem, or unprofitable.