WASHINGTON — President Joe Biden is preparing to announce that he will formally block Nippon Steel’s proposed $14.9 billion acquisition of U.S. Steel, two people familiar with the matter confirmed to NBC News. The storied American firm announced in December that it had agreed to be purchased by the Japanese-owned conglomerate, saying it was necessary for U.S. Steel's evolution in an increasingly competitive and globalized marketplace.
Its approximately $15 billion valuation by Nippon makes it worth about as much as Snap Inc. and Hyatt Hotels. U.S. Steel's market value was at about $7 billion as of Thursday morning. Shares of the company climbed slightly Wednesday after initially declining on early reports from the Washington Post and New York Times that Biden was preparing to block the deal.