According to a report by Kyodo News Agency in Pittsburgh, USA on April 12th, shareholders of American Steel voted on the proposed acquisition of the company by Nippon Steel on the 12th, with almost 100% of the votes agreeing to be acquired, despite the opposition of workers organized into unions with the support of US President Biden.
According to the preliminary vote count, over 98% of the attending shareholders voted in favor of the proposal to merge with the Japanese giant steel company at a price of $14.1 billion at the special shareholders' meeting.
David Burritt, CEO of American Steel, said in a statement, "The overwhelming support from shareholders clearly indicates their recognition of the convincing reasons behind our deal with Nippon Steel. We are one step closer to combining the best parts of the two companies together."
This US company stated that the voting shareholders who support the transaction account for 71% of the shareholders holding its issued shares.
Japanese Steel Company and American Steel Company believe that their merger will make them the world's third-largest steel manufacturer in terms of production, which is beneficial for both parties.
But since announcing plans for this all cash transaction in December last year, the United Steelworkers of America has strongly opposed it.
Biden hopes to gain the support of unions in the November presidential election, stating in mid March that this iconic steel manufacturer should ensure that its owners are Americans.
Former President Trump, who is competing with Biden for the White House seat, has also stated that he will "block" Japan Steel's acquisition plan. (End)