Cleveland-Cliffs eyeing all-cash bid for U.S. Steel, source says

Jan 13 (Reuters) - Cleveland-Cliffs (CLF.N), opens new tab is partnering with peer Nucor (NUE.N), opens new tab to prepare a potential all-cash bid for U.S. Steel (X.N), opens new tab, with an offer in the high $30s per share, a person familiar with the matter said on Monday.

Cliffs is aiming to purchase all of U.S. Steel and then sell its Big River Steel mill to Nucor if the deal is completed, the person added on condition of anonymity because the details have not been made public.

Cliffs CEO Lourenco Goncalves and rival Japan's Nippon Steel (5401.T), opens new tab, which has an agreed deal to buy U.S. Steel, engaged in a war of words over who was the better partner for the struggling company.

Goncalves reiterated in a wide-ranging press conference on Monday in Butler, Pennsylvania, that he wanted to bid again for U.S. Steel after making a rejected offer in 2023 and had a plan, but declined to elaborate on details.

"I'm happy that I'm in a position to make an offer that will execute on the wishes of the board and the management," Goncalves said. "They sell, they go away. We take over. We do good. America will be better, America will be stronger," he added.

U.S. Steel shares closed at $36.34 on Monday. Nucor did not respond immediately to a request for comment.

Cliffs' potential bid, first reported by CNBC, appeared aimed at ratcheting up pressure on Nippon Steel, whose imperiled $14.9 billion bid for U.S. Steel was blocked by President Joe Biden in a Jan. 7 executive order that cited unspecified national security concerns.

Nippon Steel, which had offered $55 a share cash for U.S. Steel, said in a statement that it would do whatever it takes to close its deal and that it was the only partner that coul...
[Short citation of 8% of the original article]